PNB Housing Finance raised Rs. 2,500s crores from LIC
PNB Housing Finance, a premier housing finance company in India, has raised Rs. 2,500 crores through the issue of secured redeemable nonconvertible debentures (NCDs).
This issuance of NCDs by PNB Housing Finance is on private placement basis with a door-to-door tenure of 10 years. The proceeds will be utilized by the company for its normal course of business operations. The issuance of Rs. 2,500 crores has been subscribed by the Life Insurance Corporation of India (LIC) and it is expected to strengthen the balance sheet of PNB Housing Finance. The company has mobilized Rs. 27,000 Crores through long-term sources for the current financial year.
PNB Housing Finance is promoted by Punjab National Bank, which is a Housing Finance company, registered with National Housing Bank (NHB). The company offer housing and non-housing loans to its retail customers and also deals in construction finance loans to real estate developers for residential housing. It is a deposit taking Housing Finance company.
On Thursday, the stock of PNB Housing Finance opened at Rs. 588.15 per share and made an intraday high and low of Rs. 599 and Rs. 575.10, respectively, on BSE. The stock closed at Rs. 580.25, up by 4.17 per cent.