State-owned Housing and Urban Development Corporation (Hudco) plans to raise Rs 2,439 crore from an issue of tax-free bonds starting on 2 December, its second tranche of such securities in this financial year. The company had raised Rs 2,370 crore in the first tranche of tax-free bonds launched in September.
The Finance Ministry has allowed Hudco to raise Rs 5,000 crore through bonds in 2013-14. The company raised Rs 190.8 crore in August through a private placement with institutional investors. The size of the tax-free bond issue is Rs 500 crore, with an option to retain over-subscription of up to Rs 2,439.2 crore, HUDCO said in a statement.
‘The issue will open for subscription on 2 December, 2013 and is scheduled to close on 10 January, 2014. The bonds under the issue are proposed to be listed on the BSE,’ it said. The funds will be used to finance the government’s housing and urban infrastructure projects, working capital requirements, augmenting the company’s resource base and other operational requirements.
The Finance Ministry has allowed Hudco to raise Rs 5,000 crore through bonds in 2013-14. The company raised Rs 190.8 crore in August through a private placement with institutional investors. The size of the tax-free bond issue is Rs 500 crore, with an option to retain over-subscription of up to Rs 2,439.2 crore, HUDCO said in a statement.
‘The issue will open for subscription on 2 December, 2013 and is scheduled to close on 10 January, 2014. The bonds under the issue are proposed to be listed on the BSE,’ it said. The funds will be used to finance the government’s housing and urban infrastructure projects, working capital requirements, augmenting the company’s resource base and other operational requirements.