HDFC board approves Rs 57000 crore redeemable NCDs

27 Mar 2023 , 04:01 PM

HDFC Limited’s board on March 27 has approved the issuance of unsecured, redeemable, and non-convertible debentures (NCDs) worth Rs 57,000 crore. This will be done under Shelf Placement Memorandum in various tranches on a private placement basis.

The merger of HDFC and HDFC bank will take effect by June-July after receiving the necessary approvals from various regulatory authorities. The merger was announced in April last year.

The company release an statement that, “Increase in the overall borrowing powers of the Corporation from Rs. 6.00 lakh crore to Rs. 6.50 lakh crore, outstanding at any point of time and recommended the same for approval of the Members of the Corporation by way of postal ballot.”

The company said that the decision was taken since the outstanding borrowings of the corporation as on date is approximately Rs 5.70 lakh crore and it would need to borrow further for its business purposes till the effective merger date.