Care Ratings assigned AA rating to the five-year bonds to be issued by Housing and Urban Development Corp (HUDCO) for raising Rs 7 billion or around $127.03 million. The base size of the issue is Rs 1.5 billion, media reports suggest. HUDCO invited bids and set a ceiling of 8.15 per cent on the coupon
Category: Infrastructure Finance
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HUDCO allots Rs 20 bn for cities in Punjab
On the sidelines of a review meeting of Housing and Urban Development Corporation (HUDCO), Punjab Local Bodies Minister Bhagat Chunni Lal informed that the corporation allotted Rs 2,000 crore for major cities in Punjab. The amount would be used for the overall development of major cities in the state. Lal presided over a meeting with HUDCO CMD VP Baligar to review various loan schemes of HUDCO for development of cities across the stat
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Sebi auction evinces strong response from FIIs
The recent auction held by market regulator Sebi for selling investment limits in government bonds to foreign institutional investors (FIIs) received strong response with 68 FIIs participating in it. The 68 FIIs are learnt to have submitted bids worth Rs 10,146 crore for investment in government bonds. But the amount of investment limit auctioned by Sebi is Rs 5,533 crore and consequently, the number of successful bid s
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Board of Srei allows it to issue Rs 15 bn worth bonds
In a communication to the stock exchange, Srei Infrastructure Finance informed that during the financial year 2013-14 the company is permitted by its board to raise Rs 1,500 crore through debentures. This amount can be raised through public issue of secured, redeemable, non-convertible debentures in one or more tranches during the current fiscal, the firm said. The company's board has also approved to raise up to Rs 500 crore in one or more tranches through issue of prefe
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RBI may switch to CPI to index proposed IIBs
In a conference call with market participants, officials of Reserve Bank of India (RBI) clarified several issues on the proposed auction of Inflation Indexed Bonds (IIBs), which is scheduled on June 4. One of the remarkable information that the officials shares is that the central bank may use Consumer Price Index (CPI) as a benchmark for these bonds once the CPI stabilises
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L&T gets top rating from CRISIL for bond issue
Considering its strong financial position and market leadership, CRISIL gave 'CRISIL AAA/Stable' rating to Larsen & Toubro (L&T's) Rs 100 crore inflation linked capital indexed non-convertible debenture issue. L&T got this top rating owing to its diversified revenue profile, strong financial flexibility, and its dominant position in the engineering and construction (E&C) market in
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IL&FS to bolster presence in merchant banking segment
According to source-based information, Infrastructure Leasing and Financial Services (IL&FS) plans to strengthen its presence in the merchant banking business to cater to infrastructure companies. A top official of the firm is quoted as saying that the firm wants to increase its presence for doing initial public offers and merchant banking activities. In 2008, the firm divested 73.21 per cent stake in its merchant banking division IL&FS Investsmart to HSBC for arou
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MFIs exercise caution on lending to MLMs
Microfinance institutions (MFIs) in the country have reportedly started scrutinising the investment of their large borrowers following the Saradha chit-fund scam. While so far MFIs were verifying the client profile mostly through word-of-mouth from group members, now they are seeking data on investments from borrowers who invested in multi-level-marketing (MLM) companies. Som
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NHB chief rules out need for unified regulator
RV Verma, Chairman and Managing Director of National Housing Bank (NHB) ruled out the need for a unified regulator for banks and housing finance companies (HFCs). He said there is no need for a single regulator for banks and HFCs as there is not regulatory arbitrage as pointed out by SBI Chairman Pratip Chaudhuri
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RBI may reduce repo rate in June 17 policy review
Market analysts and economists expect Reserve Bank of India (RBI) to reduce policy repo rate in its mid-quarter policy review on June 17 considering the fall in inflation and sluggish economic growth. Earlier, RBI said it would take into account falling inflation while deciding on policy initiative in its review next month