Lifestyle

Government to sell 8% stake in HUDCO

[ecis2016.org] The sale will help the government generate nearly Rs 721 crores

The government will sell 8% stake in HUDCO through an offer for sale (OFS) on July 27, 2021. The sale will help the government generate nearly Rs 721 crores. The floor price for the offer has been fixed at Rs 45 per equity share – this is at a 5% discount to HUDCO stock’s closing price on July 26, 2021.

You are reading: Government to sell 8% stake in HUDCO

The centre’s offer to sell its 110 million shares or 5.5% stake in HUDCO would open for non-retail investors on July 27, 2021. However, the sale of the remaining 2.5% share holding for retail investors would take place on July 28, 2021. On day one, HUDCO aims to sell up to 11,01,04,500 equity shares of face value of Rs 10 each. On day two, the public enterprise may sell 5,00,47,500 equity shares of the company.

After the sale, the government shareholding in the company would reduce to 81.81%, if it exercises the green-shoe option and offloads the entire 8% in the public sector undertaking (PSU). The OFS will happen during the trading hours on a separate window of the stock exchanges on both days from 9:15 am to 3:30 pm.

After NMDC, this is the second time the government is offloading its stake in a PSU through an offer for sale in the current financial year.

Read also : CG bhu naksha: How to check plot map online in Chhattisgarh?

***

All you need to know about Housing and Urban Development Corporation (HUDCO)

Incorporated as the Housing and Urban Development Finance Corporation in April 1970, the HUDCO is notified as a public financial institution

Among the several bodies that enable the government to meet the housing needs of the marginalised sections of society in India, is the Housing and Urban Development Corporation (HUDCO). Incorporated as the Housing and Urban Development Finance Corporation, in April 1970, the New Delhi-headquartered HUDCO is notified as a public financial institution.

Housing and Urban Development Corporation Limited (HUDCO)

Key objectives of the HUDCO

The main objects of the HUDCO are:

  • To provide long-term finance for construction of houses for residential purposes, or finance or undertake housing and urban development programmes.
  • To wholly or partly finance or undertake, the setting up of new or satellite towns.
  • To subscribe to bonds/debentures issued by the state housing boards, development authorities, improvement trusts, etc., specifically for financing housing and urban development programmes.
  • To use the money received from the government and other sources, as grants or otherwise, to finance and undertake housing and urban development programmes.
  • To promote, assist, establish, collaborate and provide consultancy services for planning and designing of works related to housing and urban development in India and abroad.
  • To finance or undertake the setting up of industrial enterprises of building material.
  • To undertake venture capital funding in housing and urban development sectors, to facilitate innovations and invest in and/or subscribe to the shares/units, etc., of venture capital funds promoted by the government/government agencies.
  • To set up mutual funds for the purpose of housing and urban development and/or invest in and/or subscribe to the units of mutual funds, promoted by the government/government agencies for this purpose.

[ecis2016.org] All you need to know about CIDCO

HUDCO loans

Read also : Metro Majestic: A splendid lifestyle at ‘The Centre of All’

The HUDCO provides loans for projects relating to water supply, roads and transport, power, emerging sectors, commercial infrastructure (shopping centres, market complexes, malls-cum-multiplexes, hotels and office buildings), social infrastructure, sewerage, drainage and solid waste management and smart cities. It also provides loans to central and state governments and agencies, for residential development. Till December 2020, the HUDCO had financed the construction work for 1,96,19,532 dwelling units meant primarily for the LIG, EWS, MIG and HIG categories.

[ecis2016.org] How does the PMAY CLSS for EWS and LIG work?

However, the funds are only meant for acquisition of land and development of plots, housing for EWS/LIG/MIG/HIG and other categories, staff rental housing, slum rehabilitation/ in-situ development/ slum upgradation, repairs of apex co-operative housing societies, etc. The HUDCO currently lends to state governments and their agencies after it stopped sanctioning new loans to private sector entities in March 2013.

HUDCO performance in numbers

Year-wise detail of projects sanctioned (Amount in Rs crores)
Year No of schemes Gross loan sanctioned Amount released Dwelling units
1971-72 19 34.86 5.51 22,095
1972-73 46 36.06 7.44 21,269
1973-74 53 30.63 13.15 19,017
1974-75 67 37.52 22.63 25,165
1975-76 163 54.47 35.84 36,345
1976-77 242 72.70 40.08 53,714
1977-78 179 88.05 48.78 1,40,141
1978-79 227 107.98 65.86 99,463
1979-80 227 139.20 77.04 2,02,841
1980-81 346 161.68 89.97 2,68,363
1981-82 392 193.62 105.24 2,76,948
1982-83 516 221.33 131.78 2,84,879
1983-84 617 283.93 149.11 3,16,349
1984-85 677 352.88 199.82 3,18,837
1985-86 697 387.42 222.51 3,39,832
1986-87 581 392.02 270.15 3,06,716
1987-88 650 496.73 324.60 3,00,938
1988-89 755 651.28 438.05 3,80,547
1989-90 884 906.84 541.60 6,65,485
1990-91 1,164 1,385.89 735.00 8,32,803
1991-92 956 1,348.09 834.00 6,69,905
1992-93 831 1,110.42 858.91 3,99,179
1993-94 971 1,368.45 1,003.58 4,16,274
1994-95 1,094 1,763.24 1,121.50 3,72,803
1995-96 912 1,966.91 1,241.80 3,93,692
1996-97 973 2,470.59 1,575.90 4,23,248
1997-98 795 3,061.86 2,263.20 5,53,156
1998-99 1,146 6,666.67 3,200.71 18,60,357
1999-92 659 8,899.89 4,372.74 16,35,844
2000-01 360 7,912.73 4,829.32 30,97,651
2001-02 341 8,140.53 4,661.78 7,36,519
2002-03 316 15,627.21 8,179.68 8,73,047
2003-04 364 13,415.31 6,136.27 9,69,883
2004-05 317 13,861.62 5,920.88 11,19,742
2005-06 224 10,099.19 3,766.52 1,92,197
2006-07 287 12,162.55 3,452.75 1,40,970
2007-08 306 13,500.61 3,754.02 98,868
2008-09 192 14,754.30 4,020.07 1,14,009
2009-10 147 16,623.76 3,098.07 2,97,907
2010-11 134 19,761.00 5,105.00 2,95,732
2011-12 130 20,511.00 6,905.00 4,22,524
2012-13 140 23,974 6,079 4,39,286
2013-14 134 17,490.94 7,437.50 14,34,102
2014-15 162 21,095.54 8,101.29 4,84,128
2015-16 202 30,774 8,250 4,57,879
2016-17 178 31,862 9,145 2,71,498
2017-18 116 38,648 16,565 15,48,602
2018-19 77 34,452 31,009 20,68,151
2019-20 50 19,942 10,121 3,07,277

Source: HUDCO

[ecis2016.org] All you need to know about MHADA

FAQs

Where is the head office of HUDCO?

The head office of the HUDCO is in New Delhi.

Can home buyers get loans from HUDCO?

The agency lends money to only the government and its various agencies for residential purposes.

Is HUDCO a government company?

HUDCO is a public sector enterprise owned by the government of India.

Source: https://ecis2016.org/.
Copyright belongs to: ecis2016.org

Source: https://ecis2016.org
Category: Lifestyle

Debora Berti

Università degli Studi di Firenze, IT

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button