Shares of HDFC closed 0.5% lower, prior to the announcement, in comparison to the benchmark BSE Sensex that closed 0.7% higher.

Housing Development Finance Corporation Limited (HDFC) said on Tuesday that company will raise Rs 13,000 cr to infuse capital into its banking arm HDFC Bank Ltd., by selling shares mainly to subscribe to a preferential issue.  Upto Rs. 8500 cr of the funds raised will be utilized to subscribe to the preferential allotment. The mortgage lender is also considering the acquisition and resolution of stressed assets in the country’s real estate sector.

Shares of HDFC closed 0.5% lower, prior to the announcement, in comparison to the benchmark BSE Sensex that closed 0.7% higher.

Top companies that contribute market-cap gain in 2017

Reliance Industries, HDFC Bank Ltd, Maruti Suzuki (India)Ltd, Hindustan Unilever Ltd and Bharti Airtel Ltd are recognized as the top five companies that have contributed more than half of the gain in market capitalization (M-cap) recorded by S&P BSE Sensex companies so far in the calendar year 2017. The S&P BSE Sensex ended at 33,463 on Friday, and has rallied 26 percent or 6,836 points so far in 2017. By comparison, these five stocks surged between 56% and 72% during the period.  Total M-cap of Sensex companies increased by Rs 11.49 lakh crore to Rs 58.16 lakh crore. Of these gain, the aforesaid five companies accounted for 63%, or Rs 7.18 lakh crore gain during the period.

ICICI Securities Ltd files DRHP for IPO

Capital market company, ICICI Securities Limited, a subsidiary of private sector lender ICICI Bank, has filed a DRHP with the market regulator Sebi for an Initial Public Offering (IPO) to raise an estimated Rs 3,000 – 4,000 cr.

The issue constitutes a public offer of up to 6.44 cr  equity shares with a face value of Rs. 5.00 each, representing about 20% of the company’s equity capital. The offer includes reservation of upto 32.21 lakh shares for individual investors and Hindu Undivided Family (HUF) and shareholders of ICICI Bank.

The ICICI Bank Board, on Nov 7 had approved the sale of a part of its shareholding in ICICI Securities.  The bankers to manage the issues include Citigroup Global Markets, CLSA, BoAML, Edelweiss Financial Services and IIFL Holdings.