MUMBAI (Reuters) - India's Housing Development Finance Corp Ltd plans to raise about 111 billion rupees ($1.75 billion) from a preferential share sale to investors including affiliates of Singapore state investor GIC and private equity KKR & Co. LP.
A committee of directors of the mortgage lender on Saturday approved selling 64.3 million shares at 1726.05 rupees a piece to the investors, according to a stock exchange filing.
HDFC shares closed at 1760.95 rupees on Friday.
Separately, HDFC will also sell shares to institutional investors through a so-called Qualified Institutions Placement to raise up 18.96 billion rupees, it said.
Last month, the mortgage lender secured board approval to raise as much as 130 billion rupees. It said it may need capital for health insurance and acquisition of stressed assets in the real estate sector.
The preferential share sale announced on Saturday comprises 3.9 percent of the company's enhanced share capital after the issue, HDFC said.
A GIC affiliate will buy about 30.1 million shares, while the administrator of the pension plan for Canada's Ontario municipal employees is buying 10 million sharers. The KKR affiliate will buy about 9.3 million shares, HDFC said.
The other investors subscribing to the preferential sale are Carmignac Group of France and India's Premji Invest.
($1 = 63.6000 Indian rupees)
(Reporting by Devidutta Tripathy and Suvashree Dey Choudhury; Editing by Shri Navaratnam)
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)