Housing and Urban Development Corporation Ltd (HUDCO) on Tuesday, March 18, said it has executed a loan agreement with Andhra Pradesh Capital Region Development Authority (APCRDA) for ₹11,000 crore.
The company’s board of directors had approved the proposal for a term loan of ₹11,000 crore to APCRDA for the new capital city Amaravati in Andhra Pradesh on January 22, 2025.
The loan agreement was executed on March 16, HUDCO informed the stock exchanges after they sought clarification from the company based on a Moneycontrol
report regarding the same.
It said HUDCO, as a non-banking financial company-infrastructure finance company, in normal course of business, extends loans to various agencies. “Since signing of loan agreement is procedural and frequent exercise between borrower and lender, the aforesaid event did not warrant any disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015,” it said.
Last week
, HUDCO declared a second interim dividend of ₹1.05 per equity share (10.50% on a face value of ₹10) for the current financial year.
Earlier this month, the company said plans to increase its loan book to ₹1.5 lakh crore in the 2026 financial year and expects to surpass its ₹1.2 lakh crore target for the current fiscal.
Sanjay Kulshrestha, Chairman and Managing Director of HUDCO, highlighted the strong growth potential in housing and urban infrastructure. “Given the opportunities in these sectors, we expect an upward revision in our targets for FY26. We will take a decision on this in the first quarter of the next financial year,” he said.
He noted that while infrastructure spending in FY25 was slightly slower, the outlook for FY26 is more promising. The Indian government has significantly increased its infrastructure budget, allocating ₹97,000 crore for urban development. This includes funding for metro projects, housing, and industrial housing.
HUDCO shares were up 0.47% up at ₹188.96 apiece at 10 am on Tuesday, March 18. The stock has declined 20.56% this year, so far.
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