HDFC's exit creates an opportunity for wholesale NBFCs in debt market

13 NBFCs raised Rs 12,551 crore in July so far

The merger of Housing Development Finance Corporation (HDFC) with HDFC Bank on July 1 has created an opportunity for non-banking financial companies (NBFCs), which focus on wholesale lending, to tap the corporate bond market.

HDFC was a major player in that segment and often left little for other players with its large borrowing requirement. Between July 1 and July 13, NBFCs raised around Rs 12,251 crore by issuing debt, according to capital markets data provider Prime Database. Most deals were executed in the second week of the month.

Market participants said the appetite of wholesale NBFCs would gradually improve, leading to an