HDFC Bank Raises ₹6,150 Crore In Dollar Bond Sale

HDFC Bank is the largest private sector lender in India. It has raised $750 million via a dollar bond sale. It will pay a 5.7% coupon with 3 years of maturity.

The largest private lender in the nation, HDFC Bank, revealed on Thursday that it has secured $750 million through the selling of dollar bonds.

According to the bank’s regulatory statement, “HDFC Bank Limited operating through GIFT City IFSC Banking Unit has concluded the issue of 750 Million US$ Senior Unsecured Bonds.”

The 5.686 percent rate will be paid, according to HDFC Bank. According to a filing with the exchange, the senior unsecured instruments in US dollars will mature in three years on March 2, 2026, with settlement taking place on that date.

The paper is rated BBB- by S&P and Baa3 by Moody’s Rating Services. According to HDFC Bank’s registration, it would be listed on the India International Exchange.

The USD bond from HDFC Bank comes after the parent company’s HDFC (Housing Development Finance Corporation) issued bonds worth 25,000 crores last week.

For the 10-year notes, HDFC, which is in the midst of merging with the bank, promised to pay a rate of 7.97%. Comparatively, the benchmark bond is currently trading at about 7.36%.

The net profit at HDFC Bank Ltd. increased by 18.50% to 12,259.50 crores in the three months that ended in December 2022. This compares to a net profit of 10,342.20 crores during the same time last year. The personal lender revealed a significant increase in net interest income (NII). 

In the most recent quarter, which concluded in December 2022, HDFC Bank reported NII of $22,987.9 crore, up over 24.60% from its NII of $18,443.50 crore in the same quarter last fiscal.

On Thursday, the BSE saw a 0.23 percent drop in the benchmark while the HDFC Bank stock closed 0.69 percent lower at 1,603.35 per piece.

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