HDFC shares gain over 3% on fund raising plans

Shares of HDFC today rose over 3 per cent amid the announcement the company will raise Rs 2,000 crore via non-convertible debentures (NCDs) to fund business needs.
The stock, after a positive opening, further gained 3.14 per cent to Rs 1,134.80 on BSE.
At NSE, shares of the company rose by 3.29 per cent to Rs 1,135.80.
It will raise the proceeds on a private placement basis by issuing secured redeemable NCDs, the company had said in a filing to BSE yesterday.
"The object of the issue is to augment the long-term resources of the corporation. The proceeds of the present issue would be utilised for financing/refinancing the housing finance business requirements of the corporation", it said.

The debt instruments, to be issued and closed on March 4, will carry a coupon rate of 8.75 per cent per annum.