HUDCO Taps Debt Market For ₹3,000 Crore With Govt Backing; SEBI Analyst Flags Key Breakout Level Ahead

Housing and Urban Development Corporation (HUDCO) is looking to raise as much as ₹3,000 crore by issuing non-convertible debentures (NCDs) to private investors. 

Earlier this year, the government gave the company the green light to borrow up to ₹65,000 crore in 2025–26 to help fund housing and infrastructure projects across India.

SEBI-registered analyst Mayank Singh Chandel explained that NCDs work like loans investors extend to companies: they pay a fixed rate of interest, the principal is returned at the end of the term, and, unlike convertible bonds, they cannot be swapped for shares.

Earnings Support The Move

HUDCO’s latest numbers give it room to raise fresh debt. Net profit in the first quarter rose 13% year-on-year to ₹630 crore, while total income came close to ₹3,000 crore. 

The company also rewarded shareholders with an interim dividend of ₹1.15 per share. 

Chandel said these results, coupled with HUDCO’s government backing, make its NCDs appealing to investors looking for steady returns with relatively low risk.

Stock Trend On The Charts

On the technical side, Chandel noted that HUDCO’s stock has been on the rise since early 2023. It pulled back from July 2024 but found support at the 61.8% Fibonacci retracement level. 

The stock is now trying to resume its uptrend, though Chandel said confirmation will only come if it manages to close above its previous swing high of ₹253.73.

What Is The Retail Mood?

On Stocktwits, retail sentiment for HUDCO was ‘bearish’ amid ‘normal’ message volume.

HUDCO’s stock has declined 11.1% so far in 2025.

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