PNB Housing Finance shares rose over 7% to Rs 433 on the BSE in Monday’s intra-day trade after the company’s board announced that it would take a call on raising capital, including through a rights issue, next week after a failed attempt to garner Rs 4,000 crore by selling a stake to Carlyle Group last year.

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PNB Housing Finance’s board of directors will meet on March 9 to explore fundraising options, including the issuance of equity shares through suitable means (among them a rights issue), the company said in a regulatory filing on Friday.

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“Pursuant to the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, as amended, and the Insider trading policy of the company, the trading window for dealing in the securities of the company is closed from March 5, 2022, to March 11, 2022, for the designated persons,” it added.

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In May, PNB Housing Finance agreed to sell a part of its stake to a group of investors led by private equity company Carlyle. Soon after, it became embroiled in a disagreement about the pricing of the shares being sold to investors.

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Following the intervention of market regulator SEBI, the case was referred to the Securities Appellate Tribunal (SAT). Due to the legal struggle, the business scrapped the attempt to raise Rs 4,000 crore in October of last year.

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The company recorded a 19% year-on-year (YoY) drop in net profit to Rs 188 crore during the October-December quarter, owing primarily to an increase in gross non-performing assets (GNPA) after the Reserve Bank of India’s (RBI’s) November 12 circular on bad loan up-gradation.

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During the quarter ended December, PNB Housing’s assets under management (AUM) de-grew 5% on a sequential basis and 14%  year-on-year to Rs 66,539 crore. The degrowth in AUM is primarily on account of loan sell-down, accelerated payments and no new sanctions in the corporate book, the company said, adding that retail book contributed 88% of the total AUM.