PNB Housing Finance has successfully raised Rs 253.65 crore through the private placement of secured, taxable, non-convertible debentures. The issuance, finalized via the NSE's Electronic Book Provider platform, carries a coupon rate of 8.4552% with a five-year tenure maturing in 2031. This move provides the housing finance lender with long-term debt capital to support its balance sheet requirements.
PNB Housing Finance Raises Rs 253.65 Crore via NCD Issuance
Issue Size: Rs 253.65 crore
Coupon Rate: 8.4552% per annum
Reader Takeaway: The company secures stable long-term funding while committing to a 1x asset cover on its book debts.
What just happened
PNB Housing Finance Limited has concluded a private placement of 25,365 non-convertible debentures (NCDs), aggregating to Rs 253.65 crore. The issuance was processed through the Electronic Book Provider (EBP) platform of the National Stock Exchange of India (NSE). The management committee approved the allotment on October 23, 2026.
Why this matters
This debt raising activity allows the company to diversify its borrowing profile and manage liquidity effectively. With a tenure of five years, these funds provide stability for the company’s lending operations. The NCDs are structured as secured instruments, backed by an exclusive charge on specific book debts of the company, ensuring a minimum security cover of one time.
Terms and Conditions
The NCDs carry a fixed coupon rate of 8.4552% per annum, payable annually. The tenure is set for five years, with the maturity date falling on October 23, 2031. Investors should note the penalty clause: should the company default on interest or principal payments for a duration exceeding three months, an additional interest of 2% per annum will be applicable for the period of delay.
Listing and Reporting
PNB Housing Finance has confirmed its intention to list these debentures on the Wholesale Debt Market (WDM) segment of the National Stock Exchange. This ensures transparency and provides secondary market liquidity for the institutional participants involved in the private placement.