HDFC Bank plans to raise up to Rs 50,000cr by issuing bonds

New Delhi: The decision was taken at the bank's board meeting.

''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 a total amount of Rs 50,000 crore over the period of next 12 months through private placement mode,'' HDFC Bank said in a regulatory filing.

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

Perpetual bonds carry no maturity date, so they may be treated as equity, not as debt.

Earlier this week, HDFC Bank agreed to take over its parent and the country's largest mortgage lender HDFC Ltd, as part of its strategy to fuel growth, especially in the affordable housing segment.

Shares of HDFC Bank closed 3.51 per cent lower at Rs 1,550.80 apiece on BSE.