HUDCO raises $200 mn from overseas lenders for its foray into loan market

Housing and Urban Development Corporation (HUDCO) has raised USD 200 million (JPY 30 billion) in its maiden foray into the syndicated loan market, its arranger said on Tuesday.

The state-run body has raised the five-year money as part of its inaugural "social loan", Japan's Sumitomo Mitsui Banking Corporation (SMBC) said.

The deal, led by SMBC's Singapore branch, saw an oversubscription with a total of nine lenders, and was upsized from its original launch size of JPY 15 billion to JPY 30 billion after exercising the greenshoe option, an official statement said.

The inaugural social loan will enable further expansion of HUDCO's social housing platform to improve the quality of life for the Indian community and enhance infrastructure facilities in urban areas, the statement said.

SMBC acted as the sole mandated lead arranger, book runner and social loan coordinator.

"We look forward to expanding our reach to the underserved communities and strengthening the local community's access