Chennai, March 10: BOB Housing Finance Limited (BOBHFL), a subsidiary of Bank of Baroda, is planning to tap the equity market in the next fiscal for enhancing its capital base. The company proposes to raise about Rs 35 crore through this initial public offer (IPO).Though the pricing is yet to be finalised, it is likely to be a par issue, said C H Palan, managing director of the company. The company also plans to raise finance through public deposits, bonds and debentures at a later date.
The issue is likely to bring down substantially the extent of refinance assistance being availed from the National Housing Bank (NHB), he added. Presently, BOBHFL is confined to borrowings from banks and refinance from NHB.
``To ensure better customer service and to improve business at a faster rate, we are planning to provide interconnectivity between all area offices and the corporate office on WAN,'' said PK Lauria, chairman of the company at a press conference here on Friday. For networking alone, the company is likely to spend nearly Rs 15-20 lakh.
As part of its branch expansion plan, the company is in the process of setting up an office in Gujarat. At present, it has 24 offices operating over 10 states.
The authorised capital of the company is Rs 50 crore, of which Rs 15 crore is the paid-up capital.
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.