The country’s largest private lender, HDFC Bank, announced on Wednesday that it plans to raise up to £50,000 over the next year by issuing bonds on a private placement basis.
“The bank proposes to raise funds through issuance of perpetual debt (part of additional Tier I capital), Tier II capital bonds and long-term debt (funding of infrastructure and affordable housing) up to a total of ₹50,000 crore over the period to be procured in the next 12 months through the private placement mode,” HDFC Bank said in a regulatory filing.
The Board of Directors will consider this proposal at its meeting on April 16, 2022, he added.
Perpetual bonds have no maturity date, so they can be treated as equity rather than debt.
Earlier this week, HDFC Bank agreed to merge its parent company and the country’s largest mortgage lender, HDFC Ltd., with itself as part of its strategy to drive growth, particularly in the affordable housing segment.
HDFC Bank shares fell 3.51% on the BSE to ₹1,550.80 a share.
