HUDCO plans to raise up to ₹2,000 crore through issue of bonds-OxBig News Network

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State-owned Housing and Urban Development Corporation Ltd (HUDCO) is planning to raise up to ₹2,000 crore through the issue of bonds on a private placement basis.

In a regulatory filing on Thursday, HUDCO said the Bond Allotment Committee has approved the raising of bonds as unsecured, taxable, redeemable, non-convertible, non-cumulative NCDs (non-convertible debentures) of face value of ₹1,00,000 each aggregating up to ₹2,000 crore on a private placement basis.

The coupon rate is 7.19%. Bonds are redeemable at par at the end of the 10th year while interest payment will be on a yearly basis.

The base issue size is ₹500 crore with greenshoe option of ₹1,500 crore, taking the total issue size to ₹2,000 crore.

HUDCO provides finance/credit facility to the housing and infrastructure sectors/sub-sectors, with special emphasis on urban development.