Private sector lender HDFC Bank said it will raise Rs 50,000 crore within a year by issuing debt instruments. The Bank proposes to raise funds by issuing perpetual debt instruments (part of additional tier I capital), tier II capital bonds and senior long-term infrastructure bonds up to a total amount of Rs 50,000 crore, the bank said in a regulatory filing.
Perpetual bonds carry no maturity date, so they may be treated as equity, not as debt. The bank did not mention what purpose it will utilise the funds to be raised. It said the money will be raised in the period of next 12 months through private placement mode.
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The Board of Directors of the bank would consider the proposal at its board meeting to be held on April 21. HDFC Bank stock closed 0.36 per cent down at Rs 1,433.60 on BSE.
(More updates awaited)