PNB Housing Finance to Raise Rs 5,000 Crore via NCDs
PNB Housing Finance’s board has approved raising up to Rs 5000 crore through non-convertible debentures on a private placement basis to support lending and expansion. The move follows a strong Q1 FY26 performance with 23 percent YoY profit growth.
MUMBAI, (06 Sep 2025). PNB Housing Finance announced today that its Board of Directors has approved the issuance of non-convertible debentures (NCDs) of up to Rs 5,000 crore. The company plans to raise the funds through private placement.
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The decision came during a board meeting. The company stated the NCDs will be issued in one or more tranches, with or without a green shoe option. This move aims to strengthen the company's financial resources to support its lending and business growth.
PNB Housing Finance is a registered deposit-taking housing finance company with the National Housing Bank (NHB). The company's business model mainly focuses on retail home loans, targeting the organized mass housing segment. Besides home financing, it also offers loans against property and for purchasing and constructing non-residential properties.
This announcement follows a strong financial performance in the first quarter of fiscal year 2026. The company reported a net profit of Rs 534 crore, a 23% increase year-over-year (YoY), though it experienced a 3% decline quarter-over-quarter (QoQ).
Net interest income (NII) for the quarter grew by 17% YoY and 4% QoQ, reaching Rs 760 crore. The net interest margin (NIM) stood at 3.74%, slightly down from the previous quarter's 3.75% but up from 3.65% in the same period last year.
After the news, PNB Housing Finance's stock closed at Rs 791.80 on the BSE, marking a 1.21% rise.
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