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HDFC raises Rs 500 crore by issuing masala bonds

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Press Trust of India New Delhi
Last Updated : Nov 19 2018 | 9:05 PM IST

Mortgage lender HDFC Ltd Monday said it has issued masala bonds under its MTN programme and raised Rs 500 crore.

The rupee denominated bonds (RDBs), popularly known as masala bonds, are issued under the medium term note (MTN) programme, it said in a regulatory filing.

The corporation has closed the said issue Monday with the issue size of Rs 500 crore," HDFC said.

It will offer a coupon of 8.75 per cent per annum payable semi-annually for tenor of 5 years and 1 day.

The bonds are unrated and will be listed on the LSE's International Securities Market (ISM), it said.

Masala bonds are instruments through which Indian entities can raise funds by accessing overseas capital markets, while the bond investors hold the currency risk.

Stock of HDFC closed 0.57 per cent up at Rs 1,898.35 apiece on the BSE.

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First Published: Nov 19 2018 | 9:05 PM IST

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