HUDCO Share: The company took a big decision in the board meeting, yet the stock slipped by more than 4%

Housing and Urban Development Corporation (HUDCO) has announced a major expansion in its borrowing capacity. The company is planning aggressive funding for future projects. However, on Friday, April 4, HUDCO shares fell by more than 4%. These stocks also came under pressure amid a sharp decline in the market.

In the board meeting on Friday, the company has approved raising Rs 65,000 crore under the Annual Resource Plan/Borrowing Programme for the financial year 2025-26. This will be sourced to meet the demands and requirements of growing urbanisation. Apart from this, the board has also approved increasing the total borrowing limit from Rs 1,50,000 crore to Rs 2,50,000 crore. This increase was earlier approved by the shareholders under Section 180(1)(c) of the Companies Act, 2013 and will require further approval of the shareholders. The company said that this decision of the board reflects HUDCO's commitment to support housing and infrastructure development across the country, which can drive growth in the real estate and construction sectors. The increased borrowing capacity will provide the company more flexibility to finance large-scale projects and meet the growing demand for affordable housing and urban infrastructure. This is an important step in HUDCO's strategic plan for the coming business year. Investors and stakeholders will be closely watching the company's progress to see how it raises funds and utilizes them effectively to meet national housing and development goals.

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