"The corporation will consider raising funds by issue of equity shares or compulsorily
convertible debentures or warrants or a combination thereof," the company said in a statement.
"The issue will be through a preferential issue or qualified institutions placement basis or through any other permissible mode or combination thereof, subject to necessary shareholder and regulatory approvals."
According to the company, the decision was taken by its board of directors to participate in the preferential issue of HDFC Bank and to explore other growth opportunities.
"The Corporation, together with its wholly owned subsidiaries currently holds 21.01 per cent of the paid-up equity share capital of HDFC Bank. HDFC Bank proposes to raise further capital to fund its growth," the statement said.
"In order for the Corporation to more or less maintain its current shareholding in HDFC Bank (post dilution as a result of outstanding stock options), it will need to participate in HDFC Bank's preferential offer up to an amount not exceeding Rs 8,500 crore, subject to regulatory approvals and the approval of members of the Corporation."
The Corporation did not participate in the last equity issue of HDFC Bank in February 2015.
HDFC further said that it "is exploring opportunities in the health insurance sector in conjunction with its subsidiary, HDFC ERGO General Insurance Company Limited".
"The Corporation is evaluating opportunities in the acquisition and resolution of
stressed assets in the real estate sector. The Corporation has set up funds for investing in the equity and mezzanine debt of affordable housing projects. The Corporation has committed sponsor support to these funds," the statement added.
(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)
About VDC
Doraiah Chowdary Vundavally is a Software engineer at VTech . He is the news editor of SocialNews.XYZ and Freelance writer-contributes Telugu and English Columns on Films, Politics, and Gossips. He is the primary contributor for South Cinema Section of SocialNews.XYZ. His mission is to help to develop SocialNews.XYZ into a News website that has no bias or judgement towards any.