Hudco raises Rs 279 cr via tax-free bonds

NEW DELHI: State-owned Housing and Urban Development Corporation (Hudco) said it has raised Rs 279 crore through the third tranche of tax-free bonds. The finance ministry had allowed HUDCO to raise Rs 5,000 crore through bonds in the current financial year. Hudco had raised Rs 4,714 crore from the first two tranches of tax-free bonds and private placements. To raise the balance amount of Rs 286 crore, the company launched the third tranche of tax-free bonds on February 28. “We have raised Rs 279 crore from the third tranche. We preclosed the issue because of higher participation from retail individuals,” said a senior HUDCO official. The issue was to close on March 19. The official said that the company has raised a total of Rs 4,993 crore through bonds out of Rs 5,000 crore allowed. The basic size of the issue was Rs 75 crore, with an option to retain over-subscription up to Rs 285.8 crore. In August, Hudco has raised Rs 190.8 crore.