India New Issue-HDFC likely to issue 2-year bonds soon - bankers

Housing Development Finance

26/05/2023 12:43

By Dharamraj Dhutia
       MUMBAI, May 26 (Reuters) - India's Housing Development
Finance Corp Ltd (HDFC)  HDFC.NS  plans to raise funds through
sale of bonds maturing in two years, two merchant bankers said
on Friday.
    The company intends to raise at least 50 billion rupees
($605.4 million) via this issue, which will have a greenshoe
option to retain additional funds, they said.
    The housing financier is likely to offer an annual coupon of
around 7.80% on this bond issue, the bankers added.
    The bonds are rated AAA by Crisil and India Ratings, and the
issue will be settled next week.
    The company is yet to make an official announcement, and did
not immediately reply to Reuters' email for comments.
    Earlier this week, HDFC raised 36.35 billion rupees via
bonds maturing in 10 years at a coupon of 7.65%, and this issue
will have a put option at end of three years.
    The latest issue comes as the company is set to merge with
HDFC Bank in the coming months.

($1 = 82.5918 Indian rupees)

 (Reporting by Dharamraj Dhutia; Editing by Varun H K)
 ((Dharamraj.dhutia@tr.com))