Indiabulls Housing Finance to raise Rs 1,000 crore

NEW DELHI: Indiabulls Housing Finance, a housing finance company, has announced the public issue of secured/ and or unsecured, redeemable, non-convertible debentures of the face value of Rs. 1,000 each, the company said in a media release. The Tranche I Issue opens on September 06, 2021 and closes on September 20, 2021.

The Tranche I Issue has a base issue size of Rs 200 crore with a green shoe option up to Rs 800 crore, aggregating up to Rs. 1,000 crore (Tranche I Issue).

The Tranche I Issue offers various options for subscription with coupon rates ranging from 8.05% to 9.75% per annum. There are 10 Series of NCDs carrying fixed coupon and having tenures ranging 24 months, 36 months, 60 months and 87 months with annual, monthly and cumulative option.

The NCDs have been rated CRISIL AA/Stable by CRISIL Ratings and BWR AA+/Negative by Brickwork Ratings India.

An additional incentive maximum of 0.25% per annum will be offered for category III (HNI) and category IV (Retail) investors in the proposed Issue, who are also holders of NCD(s)/ Bond(s) previously issued by the company.

The lead managers to the issue are Edelweiss Financial Services, IIFL Securities and Trust Investment Advisors.

At least 75% of the funds raised through this Tranche I Issue will be used for the purpose of onward lending, financing, and for repayment of interest and principal of existing borrowings of the company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25% of the amount raised in the Tranche I Issue. The unsecured NCDs are in the nature of subordinated debt and will be eligible for Tier II capital.