HDFC launches Rs 14,000 crore QIP at floor price of Rs 1,838; stock up 1.5%

The floor price is at a 3.5 per cent premium of Wednesday's close price. The company will use part of fresh capital for funding inorganic opportunities and investments in existing group businesses.

Shares of HDFC gained 1.5 per cent to quote at Rs 1,804.85 on the BSE on Thursday after the mortage lender announced launch of its Rs 14,000 crore-Qualified Institutional Placement (QIP). The equity shares opened for subscription on Wednesday with a floor price of Rs 1,838.94 per share, which is at a 3.5 per cent premium of Wednesday's close of Rs 1,776.9 per share.

HDFC might offer a five per cent discount on the floor price, it said in a regulatory filing. Besides, the mortgage lender is also looking to raise Rs 9,000 crore through secured non-convertible debentures.