PNB Housing Finance to raise Rs 5,000 crore via NCDs

Mortgage lender PNB Housing Finance has received its board approval to raise Rs 5000 crore in bonds to finance its business expansion.

The non-convertible debentures will be issued to investors on a private placement basis, the company informed the stock exchanges Thursday following the board meeting.

This will be the second fundraising by the lender this fiscal, following an equity infusion of Rs 2490 crore through rights issue of shares. It also plans to borrow about Rs 2500 crore from National Housing Bank through the latter's refinancing window, besides bank borrowing.


The company however has no further plans for equity expansion in the next couple of years.

Its capital adequacy ratio is likely to elevate to 30% following the equity capital infusion. Its overall capital adequacy stood 24.4% at the end of March.