HDFC Bank to boost Rs 50K crore in 12 months

HDFC Bank — which has proposed a merger with its mum or dad HDFC Ltd — is planning to boost Rs 50,000 crore within the subsequent 12 months.

“The bank proposes to raise funds by issuing perpetual debt Instruments (part of Additional Tier I capital), Tier II capital bonds and long-term bonds (financing of infrastructure and affordable housing) up to total amount of Rs 50,000 crore over the period of next 12 months through the private placement mode,” the personal sector lender mentioned in an alternate submitting.

“The board of directors would consider this proposal at its ensuing meeting to be held on April 16, 2022,” it mentioned.

The financial institution’s shares fell by 3.51 per cent to Rs 1,550.80 on Wednesday.

As on March 31, 2021, the financial institution’s subordinated and perpetual debt capital devices amounted to Rs 9,127 crore (earlier yr: Rs 10,232 crore) and Rs 8,000 crore (earlier yr: Rs 8,000 crore) respectively, based on the financial institution’s Annual Report for 2021.