PNB Housing Finance Plans To Raise Rs 5,000 Crore Through NCDs

PNB Housing Finance Limited, one of India's leading housing finance companies, has recently announced its plans to raise funds through the issuance of Non-Convertible Debentures (NCDs) worth up to Rs 5,000 crore, reported by CNBC Tv.

The Board of Directors of PNB Housing Finance has scheduled a meeting on June 22 to discuss and authorise the issuance of non-convertible debentures totaling up to Rs 5,000 crore on a private placement basis.

The housing finance company provides retail consumers with housing and non-housing loans, including individual home loans, loans secured by property, and loans for non-residential property, among others. The Punjab National Bank is promoting it.

PNB Housing Finance in an interaction with Nirmal Bang in June said the demand trends remain healthy and it does not see a challenge in sustaining growth. Its focus is to grow the affordable housing book aggressively and to grow the retail book to Rs 1 lakh crore going forward.

The implementation of various collection verticals by the company has led to increased efficiency, contributing to an overall improvement in asset quality. The management has emphasised that this positive trend in asset quality is expected to persist in the future. Furthermore, the management expresses optimism in maintaining a Net Interest Margin (NIM) of 3.5 percent and a spread of 2.5 percent.