HDFC Bank To Raise $750 Million In Offshore Debt To Lend For Low-Cost Housing

1. HDFC Bank To Raise $750 Million In Offshore Debt To Lend For Low-Cost Housing The Home Development Finance Corporation (HDFC) will raise $ 750 million, which is most likely to be the ultimate external commercial loan, even before mortgage lenders plan to integrate with HDFC Bank. The funds will be used to lend to customers of low-priced Top Property in Gurugram homes. The five-year credit line is syndicated by institutional groups such as Mizuho Bank, MUFG and Standard Chartered Bank. The territory of international banks has the potential to grow in the future. Loan pricing can be set by adding 110-120 basis points to the term SOFR (Secured Overnight Financing Rate). This is a global rate indicator that currently shows a yield of around 2.63%. If the debtor protects the full amount, the client will have to pay an additional 400-450 basis points, depending on the current cost of futures market price volatility insurance. As of March 31, 2010, home lenders were in debt of $ 65.83 billion, according to an HDFC investor presentation. Only about 3% is generated by foreign financial contracts (ECBs), but 40% is generated using domestic bonds. The rest will be distributed to the bank's term loan (25%) and the higher share of public deposits (32%). The two companies expect the Indian mortgage industry to quadruple to $ 600 billion over the next five years, with loan saturation of 13% of GDP, even lower than other developing markets. increase. "We believe that being included in the banking system is the best way to expand home finance." "Funding resource management is significantly greater and costs are lower," the stock broker predicts. did.

2. The company is awaiting regulatory approval for the merger agreement between HDFC and HDFC Bank. HDFC's total loan amount is $ 86.15 billion, with individuals accounting for about four-fifths of the total. Top Property in Gurugram