Private sector mortgage financier HDFC Ltd has acquired shareholders’ go ahead for raising up to Rs 50,000 crore and it further roped in 19 merchant banks for its mega Rs 14,000 crore fundraising programme to level-up its balance sheet.
The nodwas granted at the 26th Annual General Meeting of the lender concluded on Saturday.
“Approval of shareholders was obtained for issue of Unsecured Perpetual Debt Instruments (part of Additional Tier I capital), Tier II Capital Bonds and Long Term Bonds (financing of infrastructure and affordable housing) on a private placement basis of an amount in aggregate not exceeding Rs 50,000 crores,” the bank said in a regulatory filing on Sunday.
Several lenders, both private and public, are looking at raising funds exercise lately.
The 19 merchant banks shortlisted by HDFC Ltd are namely Axis Capital, BNP Paribas, Bofa Securities, Citi, Credit Suisse, Goldman Sachs, HDFC Bank, HSBC Securities, ICICI Securities, IIFL Capital, Jefferies, JM Financial, JP Morgan, Kotak Mahindra Capital, Motilal Oswal, Morgan Stanley, SBI Capital, and UBS, sources informed Moneycontrol.
The pratnership has set a new record for India Inc as the appointment is the biggest ever witnessed in the category of marquee merchant banks by an Indian corporate for fundraising exercise in the equity capital markets.
Also read: HDFC Bank slashes MCLR by 5 bps
The shareholders of HDFC Bank also cleared the re-appointment of Malay Patel as an Independent Director, and Kaizad Bharucha as Executive Director and appointment of Renu Karnad as Non-Executive Director of the bank.