New Delhi: PNB Housing Finance has raised $265 million (Rs 1,853 crore) through fresh external commercial borrowing (ECB) on December 28, 2018, a company statement said here on Wednesday.
PNB Housing Finance, the country’s fifth largest housing finance company by loan assets and second largest by deposits, has said the funds raisedwill be utilised for normal on-lending operations of the company.
“Company has raised in aggregate $465 million (Rs 3,324 crore) through ECB during Q3 of financial year (FY)2018-19 of five year tenure. The facility has come at a landed cost, which is much below the domestic pricing for similar tenor. In spite of the market headwinds, PNB Housing has successfully raised about Rs 20,000 crore in aggregate at competitive interest rates during Q3 of FY2018-19. This includes both long-term and short-term facilities through deposits, ECBs, NHB Refinance, Securitisation (Direct Assignment route), bank borrowings and commercial papers (CPs),” said Sanjaya Gupta, Managing Director & CEO, PNB Housing Finance.
He further added, “The borrowing during Q3 includes deposits of around Rs 1,400 crore, ECBs of $465 million (Rs 3,324 crore) from various lenders, NHB refinance of Rs 2,000 crore (from sanctioned facility of Rs 3,500 crore), bank borrowings of Rs 1,725 crore, CPs amounting to Rs 9,225 crore and securitisation (Direct Assignment route) of around Rs 2,700 crore from different counterparties.”
The commercial papers (CP) raised are a roll-over of the existing CPs. The company plans to maintain an exposure of about 12-13 per cent in CPs of the entire borrowing. Apart from CPs, all the other fresh borrowings in this quarter are of long-term in nature.
“Factoring the above, the company as on December 31, 2018 had a liquidity of about Rs 12,000 crore, which includes cash and liquid investments of around Rs 6,000 crore and around Rs 6,000 crore of sanctioned undrawn-lines. In addition to these, there is sufficient pipeline of proposals, including additional ECBs, at advanced stage of sanction,” Gupta added.
