PNB Housing Finance to raise $400 million through issue of masala bonds

PNB Housing Finance (PNB HFL)  is planning to raise $400 million through its maiden issue of masala bonds.

The money will be utilised to finance retail buyers/developers of affordable housing as well as developers of green buildings.

IFC proposes to invest upto $150 million in PNB HFL by subscribing to the company's 5-year Masala Bonds.

PNB HFL will allocate another $400 mn from other resources of funds to create a pool of up to $800 million for affordable/green housing segments, said IFC.

PNB HFL is the fifth largest HFC (by loan assets) and second largest HFC (by deposits) in India with asset under management (AUM) of $9 billion as of December 2017. 

PNB HFL, a registered HFC with NHB,  is a listed entity currently, with PNB holding 32.96 per cent stake in the company while 37.3 per cent is held by Quality Investment Holdings (QIH) and the rest by public shareholders.