Money & Banking

PNB Housing Finance raises Rs 1,775 cr via commercial papers

PTI New Delhi | Updated on October 22, 2018 Published on October 22, 2018

As on date, the company has cash and liquid investments of nearly Rs 6,000 crore.

PNB Housing Finance had raised Rs 1,775 crore through issuance of commercial papers to mutual funds and banks during this month.

“In spite of the current tight market scenario, our company has successfully raised funds through CPs aggregating Rs 1,775 crore at competitive rates,” Managing Director Sanjaya Gupta said in a statement.

He added that these borrowings in the present environment exhibit the trust and faith of the lender community in PNB Housing Finance.

The company is comfortable with its liquidity and asset and liability management and the money raised this month is in addition to the funds raised through external commercial borrowings,Chief Financial Officer Kapish Jain said.

“This fund raised shall not increase our overall exposure to CPs and we would continue to maintain our overall borrowing through CPs at around 12-13 per cent compared with 19 per cent as of March 31, 2018,” Jain said.

He also said the company did not raise any fund from capital markets in the previous month in view of surplus liquidity. As on date, the company has cash and liquid investments of nearly Rs 6,000 crore.

Punjab National Bank holds 32.79 per cent stake in PNB Housing Finance; another 32.36 per cent holding is with Carlyle Group through its investment arm Quality Investment Holdings. PNB Housing shares ended up 0.91 per cent at Rs 713 on the BSE.

Published on October 22, 2018
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