HUDCO board approves ₹2,190 crore fundraise via NCDs on private placement basis

Stock market today: Public sector undertaking (PSU) Housing & Urban Development Corporation's (HUDCO) board on Tuesday, May 6, approved raising ₹2,190 crore via non-convertible debentures (NCDs), according to an exchange filing shared by the company.

As part of its fundraising plan, HUDCO's Bond Allotment Committee allowed raising funds via unsecured, taxable, redeemable, non-convertible, non-cumulative NCDs of face value of ₹1,00,000 each (Series-B 2025), aggregating up to ₹2,190 crore on a private placement basis.

The NCD issue includes a base size of ₹500 crore and a green shoe option of ₹1,680 crore. The bonds carry a coupon rate of 6.90% and are redeemable at par at the end of the fifth year, with interest payment on a yearly basis.

The bonds are proposed to be listed on BSE, with the schedule of payment of interest and principal as follows: May 08, 2026; May 08, 2027; May 06, 2028; May 06, 2029; and May 086, 2030.

Late last month, on April 23, the HUDCO board had announced raising another ₹2,430 crore via NCD issue. The said bond issue was for a period of seven years, carrying the same coupon rate of 6.90%.

HUDCO Q4 Results

HUDCO board is slated to meet again on May 7 to consider and approve the financial results for the March 2025 quarter and financial year 2024-25 (FY25), along with dividend payment.

“Housing & Urban Development Corporation has informed BSE that the meeting of the Board of Directors of the Company is scheduled on 07/05/2025, inter alia, to consider and approve audited financial results (Standalone and Consolidated) for quarter & year ended 31st March, 2025 and recommendation of final dividend to the shareholders for the FY 2024-25, if any, subject to the approval of the shareholders in the ensuing AGM,” HUDCO said in an exchange filing last month.

HUCO Share Price Trend

PSU stock HUDCO was trading on a lacklustre note today, declining nearly 4% in intraday trade on Tuesday.

HUCO share price opened at ₹229.45, a tad bit higher than the previous closing price of ₹228.95. However, the BSE 500 stock reversed gains and slipped to the day's low of ₹220.10, recording a decline of 3.8%.

However, despite today's fall, HUDCO shares have gained 8% in the last one month. On a year-to-date (YTD) basis, HUDCO share price has lost 7.15% but has gained 3% in the last one year. On a longer time frame of two years, HUDCO is a multibagger stock, rallying 300%.

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