The board of HDFC on Monday approved a plan to raise up to Rs 1,25,000 crore for which it will seek shareholders approval at its annual general meeting on June 30.

“The board also approved the issuance of Redeemable Non-Convertible Debentures (secured or unsecured) and/or any other hybrid instruments (not in nature of equity shares) up to total Rs 1,25,000 crore on a private placement basis in terms of the provisions of Section 42 and other applicable provisions of the Companies Act, 2013 during a period of one year, subject to the approval of the members at the 45th AGM,’’ the corporation said in a filing to the stock exchanges on Monday.

Observers said this is an enabling resolution for business purposes. In the previous annual shareholders meet the company had also proposed the same aggregate amount of up to Rs 1,25,000 crore.

In July 30, 2020, its shareholders approved the issuance of Redeemable Non-Convertible Debentures (NCDs), secured or unsecured or any other hybrid instrument for up to Rs 1,25,000 crore. Of this, the corporation raised Rs 38,593 crore by issuance of secured NCDs.