GIC Housing Finance has said that it is considering raising Rs 2,500 crore by issuing bonds on a private placement basis for augmenting its capital resources. In its annual report 2021-22, the company has stated that long-term borrowing requirements and for augmenting resources at a cheaper rate of interest, approval is sought for mobilising some more funds by way of redeemable bonds/NCDs on a private placement basis.
The company said it would seek approval from its stakeholders on the capital raise plan in the upcoming annual general meeting on September 23, 2022. The housing finance further said whether the funds would be moped-up in one or more rounds would probably depend upon the time of issue, a requirement of the same and market conditions.
GIC Housing Finance Limited started its operations in 1989. Formed to provide direct housing lending in India, GIC Housing Finance provides loans to individuals and entities to construct houses and flats for residential purposes.
