HDFCBANK

March 13 (Reuters) - India's HDFC Life Insurance HDFL.NS said on Thursday that a data theft it reported in November did not result in any adverse material impact and has been resolved.

"The unauthorized exploitation was confined to a specific, identified issue," the insurer said in an exchange filing, without disclosing further details.

HDFC Life, in November, said that an unknown source shared certain customer data with the company with "mala fide intent".

(Reporting by Kashish Tandon in Bengaluru; Editing by Mrigank Dhaniwala)

(([email protected]; 8800437922;))

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

By Shritama Bose

MUMBAI, March 12 (Reuters Breakingviews) - One of India's top private banks is setting a fresh test for the sector. On Monday IndusInd Bank INBK.NS reported it had discovered an accounting discrepancy in the way it booked currency derivatives stretching back at least six years. The resulting estimated $175 million impact roughly equates to an entire quarter's earnings. It's the latest in a series of slip-ups by the firm run by Sumant Kathpalia, and the ensuing 27% drop in its shares shows its credibility is tanking. It's also likely to bring tighter scrutiny of its peers.

The bank backed by the Hinduja Group has had a turbulent few months. Microloan delinquencies are surging and governance looks wobbly. Its chief financial officer abruptly resigned in January. On Thursday, the Reserve Bank of India denied its proposal to extend Kathpalia's term as CEO by three years, giving him just one more year. All in, the now-$6 billion bank, the country's fifth-largest by loans in the private sector, has lost 60% of its market value since shares hit a high in January last year.

The stock meltdown reflects not just the cascading impact of those surprises, but also a new risk. The bank stated the financial hit as 2.35% of its net worth; that sends a worrying signal to investors that this metric, also known as book value, is not as trustworthy as they thought. Restoring such faith takes time and requires proving that the bank's systems and processes - and probably some of the top management - have been overhauled.

While the accounting fiasco currently looks specific to IndusInd, it could potentially singe others. Kathpalia told investors the discrepancy came to light in September or October, six months after the RBI tweaked valuation norms for banks' investment portfolios. Such regulatory diktats at times expose worms across the sector, as in 2017 when new disclosure standards revealed many banks to be understating bad loans.

Peers with foreign currency deposits, including market leaders State Bank of India SBI.NS and HDFC Bank HDBK.NS, will brace for more questions from the RBI and markets. They may well emerge squeaky clean, but it's a hassle they would prefer to do without.

Follow @ShritamaBose on X

CONTEXT NEWS

Shares in IndusInd Bank fell 27% to close at 656.80 rupees each on March 11, the day after it reported accounting discrepancies in foreign currency derivatives. The Indian private lender estimates an adverse impact of approximately 2.35% of its net worth as of December 2024.

The bank will, though, report a profit for the three months and financial year ending March 31, CEO Sumant Kathpalia told CNBC-TV18.

(Editing by Antony Currie and Aditya Srivastav)

((For previous columns by the author, Reuters customers can click on BOSE/[email protected]))

MUMBAI, March 11 (Reuters) - India's HDFC Ergo General Insurance plans to raise 3.50 billion rupees ($11.47 million) through the sale of subordinated bonds maturing in 10 years, three bankers said on Tuesday.

The insurer has invited coupon and commitment bids from bankers and investors for the issue on Thursday, they said.

The company did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on March 11:

*Size includes base plus greenshoe for some issues

($1 = 87.2125 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Janane Venkatraman)

(([email protected]))

By Ashwin Manikandan

NEW DELHI, March 4 (Reuters) - Indian startup Mintoak, which provides merchant payment services to lenders, said on Tuesday it has bought Digiledge, marking the first acquisition in the nascent central bank digital currency space in a deal that sources said was worth around $3.5 million.

The Reserve Bank of India started a pilot for the CBDC, or e-rupee, a digital alternative to physical currency, in December 2022, and last April, it expanded the scope of transactions to payment firms from having limited it to just banks initially.

PayPal PYPL.O and HDFC Bank HDBK.NS backed Mintoak has completed the acquisition of Digiledge, which specialises in CBDC and bill payments services, said two sources aware of the matter, declining to be identified as they are not authorised to speak with the media.

The deal will enable Mintoak's partner banks, which include HDFC Bank, Axis Bank AXBK.NS and SBI SBI.NS, to offer more comprehensive CBDC-related payment solutions to their clients, Mumbai-based Mintoak said.

"By adding Digiledge's bill payments and CBDC capabilities, we are making it easier for merchant acquirers to grow and help more small and medium enterprises access digital tools and financial services," Mintoak CEO Raman Khanduja said.

In January, Cred and MobiKwik ONEM.NS became the first fintech platforms to give customers access to the CBDC.

Alphabet's GOOGL.O Google Pay, Walmart-backed WMT.N PhonePe PHOP.NS and Amazon Pay are among the payment firms seeking to join the pilot, Reuters reported in August 2024.

(Reporting by Ashwin Manikandan; Editing by Savio D'Souza)

(([email protected]))

By Ira Dugal

MUMBAI, Feb 28 (Reuters) - HDFC Bank HDBK.NS, India's largest private lender by assets, will grow its loan securitisation business over the next few years to meet rising investor demand, the bank's chief financial officer said.

The bank will continue to build this business as a way to create space for fresh loans without bulking up its balance sheet, CFO Srinivasan Vaidyanathan said in an interview late on Thursday.

Loan securitisation involves bundling of loans and slicing them into new investments.

"We do believe this is a strategic initiative... I believe that over a three-year to five-year period, it would be substantial," Vaidyanathan said, but declined to share a target for loan sales.

The bank has sold 463 billion rupees ($5.30 billion) in loans through securitisation so far this financial year.

Securitisation volumes in India are expected to rise to 2.4 trillion rupees in the current fiscal year ending March 31, a 25% increase over last year, according to rating agency ICRA.

The loan sales, which HDFC Bank had avoided, are being driven by multiple objectives, including a need to bring down its loan-to-deposit ratio which had risen following its merger with parent HDFC in July 2023.

The bank previously said that it aims to bring down that ratio to below 90% from close to 100% now. A lower ratio indicates a stronger liquidity position.

But an expansion in the market for loan securitisation is a bigger factor behind the decision to grow that business, said Vaidyanathan.

"We currently see a good amount of interest, including from local investors, pension funds, insurance, certain other banking institutions," he said, adding that international investor interest in securitised loans is also picking up.

DEPOSITS BEFORE LOANS

The bank's broader objective in the near term remains to grow its deposit book more quickly than loans, with particular focus on raising the share of lower-cost retail deposits.

The bank said in January it will grow its deposits at a pace above the banking system in the upcoming financial year starting April 1, while growing loans at a rate close to the market.

"A better CASA (current account, savings account) mix is also an important priority" because of changing customer preferences, he added, referring to a shift from deposits to equity investments as the preferred saving option.

In the current financial year, the bank slowed loan growth in the unsecured retail loan category due to fears of rising delinquencies.

The bank may now see opportunities for quicker loan growth in that segment as many other financial sector players have retreated.

"The opportunity will open up as other players in the market slow down...We'll have better opportunities in that space without changing any credit criteria," he said.

Over the past two months, the Reserve Bank of India has eased liquidity conditions and loan rules, while the government has reduced the tax burden for consumers amid high inflation.

Vaidyanathan sees these as "tailwinds" for the sector, which will help improve lending and deposit markets over the next year.

($1 = 87.3070 Indian rupees)

(Reporting by Ira Dugal; Editing by Varun H K)

(([email protected]; +91-9833024892;))

Corrects to Thursday from Wednesday in first paragraph

Feb 27 (Reuters) - Shares of most Indian financial companies, especially those of non-bank and microfinance-focussed lenders, jumped on Thursday after the central bank further eased its capital requirements for micro loans and bank credit.

Financial stocks .NIFTYFIN, which include non-bank finance companies (NBFCs), jumped about 1%, outpacing the 0.7% increase in banking stocks .NSEBANK. The benchmark Nifty 50 .NSEI, in comparison, was flat.

The Reserve Bank of India, on Tuesday, trimmed the higher capital requirements introduced in November, the latest in a series of growth-supportive measures since Sanjay Malhotra took over as governor in December.

Under his watch, the RBI has eased liquidity, delayed some regulations and loosened restrictions placed on some lenders.

"We think this bodes well for the financial sector and lays more emphasis on consumption and growth ... and (we) reiterate our bullish view," Macquarie analyst Suresh Ganapathy said in a note.

On the day, Bandhan Bank BANH.NS gained 6%, while Shriram Finance SHMF.NS, AU Small Finance Bank AUFI.NS and Ujjivan Small Finance Bank UJJI.NS rose about 5% each.

Cholamandalam Investment and Finance CHLA.NS and Aditya Birla Capital ADTB.NS advanced 4.5% each. Bajaj Finance BJFN.NS rose 2.7% and IndusInd Bank INBK.NS gained 2%.

In comparison, top private lenders such as ICICI Bank ICBK.NS and HDFC Bank HDBK.NS were up under 1%.

The RBI's move should help most NBFCs' earnings, Morgan Stanley analysts said, picking Aditya Birla Capital, PNB Housing, Shriram Finance and Bajaj Finance as top beneficiaries.

Nomura analysts said banks with higher microfinance loan exposure, such as Bandhan Bank, IndusInd and AU Small Finance Bank, would also get much needed relief.

Since the rules were implemented in November, Aditya Birla Capital's shares had slid 16%, while AU Small Finance Bank and IndusInd Bank sank 28% and 31%, respectively. The worst hit, with a 38% tumble, was Bandhan Bank -- the day's top gainer.

However, Axis Bank Chief Economist Neelkanth Mishra cautioned that a reversal in the broad-based slide in loan growth -- caused by high liquidity costs and the RBI's discomfort with high loan-to-deposit ratios -- could take time.

"While these (RBI) signals should help revive lending, we believe the binding constraint remains durable liquidity."

(Reporting by Sethuraman NR; Editing by Savio D'Souza)

(([email protected]; (+91 9945291420); Reuters Messaging: [email protected]))

Updates for morning trade

By Vivek Kumar M

Feb 20 (Reuters) - India's benchmark indexes fell on Thursday, weighed down by losses in heavyweight HDFC Bank and car maker Maruti Suzuki India, while uncertainty over U.S. tariffs continued to dent risk sentiment.

The Nifty 50 .NSEI was down 0.16% at 22,896.30 points as of 11:01 a.m. IST, while the BSE Sensex .BSESN lost 0.26% to 75,742.38.

The broader midcap .NIFMDCP100 and smallcap .NIFSMCP100 stocks were up 0.5% and 0.8%, respectively.

The Nifty 50 is likely to remain range-bound until there is some certainty about U.S. tariffs, said U.R. Bhat, co-founder of Alphaniti Fintech.

HDFC Bank HDBK.NS, the heaviest stock on the benchmark indexes, slipped 2.1%, snapping a three-day winning streak. Shares of the private lender changed hands at a discount in multiple blocks on Thursday, data compiled by LSEG showed.

The sharp fall also led financials .NIFTYFIN 0.8% lower.

Maruti Suzuki India MRTI.NS fell 2% after its parent Suzuki Motor Corp 7269.T said it planned to launch only four battery electric vehicles in India by fiscal year 2030 instead of the six targetted earlier.

Meanwhile, U.S. President Donald Trump said on Tuesday he would introduce tariffs of 25% and above on autos, pharmaceuticals and semiconductors.

Among Asian countries, South Korea and Japan have the highest U.S. exposure to auto exports, while India has extensive pharma exposure, according to HSBC Global Research.

On Wednesday, the minutes of the U.S. Federal Reserve's January policy meeting showed that policymakers were concerned about the inflationary impact of Trump's tariff plans, signalling the likelihood of higher rates in the U.S.

Higher U.S. rates make emerging markets such as India unattractive for foreign investors, who have sold about $12.31 billion worth of Indian equities so far in 2025.

Among individual stocks, cigarette makers VST Industries VSTI.NS and Godfrey Phillips GDFR.NS fell 4% each, while ITC ITC.NS lost 1.2% on a report of a possible tax hike.

(Reporting by Vivek Kumar M and Bharath Rajeswaran in Bengaluru; Editing by Janane Venkatraman and Mrigank Dhaniwala)

(([email protected];))

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

By Shritama Bose

MUMBAI, Feb 19 (Reuters Breakingviews) - India’s dealmakers are celebrating their arrival on the global map. Last year, Kotak Mahindra Bank KTKM.NS not only topped LSEG's league table for initial public offerings in Asia by volume, edging out CITIC 0267.HK and JPMorgan JPM.N, but it also broke into the ranks of the top 10 underwriters of common stock deals globally by proceeds. Both are firsts for an Indian investment bank. But the strong showing by the $45 billion firm and its compatriots may prove hard to sustain.

A record $71 billion in equity fundraising powered the South Asian country's climb past China and Hong Kong to the spot of the world’s second-largest destination for share placements behind the U.S. last year, per Dealogic data. New-economy companies including Swiggy SWIG.NS and Ola Electric Mobility OLAE.NS going public were a lynchpin for strong fees. Meanwhile, punchy valuations prompted global businesses like Whirlpool WHR.N to cash out stakes in their local units and Hyundai Motor 005380.KS to take its Indian business public.

It spelt a bonanza for banks like Kotak and ICICI Bank ICBK.NS, both of which trade at 3 times forward book value, the top of their peer group. Their rise up the league tables buys them credibility beyond those rich valuations.

The mood is upbeat. At a Mumbai conference of investment banks in January, a singer belted out chest-thumping patriotic numbers in the presence of Madhabi Puri Buch, chief of Securities and Exchange Board of India, the capital markets regulator. Sundararaman Ramamurthy, the CEO of BSE BSEL.NS, one of the country’s two main stock exchanges, described the IPO boom as a moment of India’s “re-emergence” on the world stage.

The pipeline remains strong. Kotak has won a mandate, alongside Morgan Stanley MS.N, for what could be India's largest ever IPO, an up to $4.6 billion listing of Reliance Industries' RELI.NS telecommunications business, IFR reported in January, citing unnamed people. HDFC Bank’s HDBK.NS shadow lending unit has filed for a $1.44 billion float. Businesses ranging from the local unit of South Korean consumer appliances giant LG Electronics 066570.KS to Tiger Global-backed stockbroker Groww are preparing for billion-dollar listings too, per IFR. Kotak expects primary fundraising in India to rise 59% from last year’s level to $35 billion in 2025.

But the broader environment is less cheery. Foreign portfolio investors are dumping Indian shares and companies are reporting dismal earnings, pulling indexes off last year’s dizzying highs. The outlook for GDP growth is sombre. Beijing's push for higher-valued startups could rejuvenate dealmaking in China this year, and Hong Kong listings are rebounding from a 20-year low. The two centres notched up a total $132 billion in equity transactions in 2023 before markets slumped.

Kotak and its peers may find their dealmaking crown was easier to earn than to hold.

Follow @ShritamaBose on X

CONTEXT NEWS

Kotak Mahindra Bank was the 10th largest bookrunner globally for common stock deals by proceeds in 2024, with a 1.5% share of the market, according to LSEG data. It also topped the league table for Asian initial public offerings, including Chinese A-shares, facilitating listings that raised $2 billion during the year.

(Editing by Antony Currie and Aditya Srivastav)

((For previous columns by the author, Reuters customers can click on BOSE/
[email protected]))

MUMBAI, Feb 14 (Reuters) - India's HDB Financial Services has accepted bids worth 5 billion rupees ($57.6 million) for the reissue of 8.2378% April 2027 bonds, three bankers said on Friday.

The non-banking finance company will offer a yield of 7.90% and had invited bids from bankers and investors earlier in the day, they said.

HDB Financial Services did not immediately respond to a Reuters email seeking comment.

Here is the list of deals reported so far on February 14:

*Size includes base plus greenshoe for some issues

($1 = 86.8550 Indian rupees)

(Reporting by Dharamraj Dhutia
Editing by Eileen Soreng)

(([email protected]))

MUMBAI, Feb 13 (Reuters) - India's HDFC Life Insurance HDFL.NS has accepted bids worth 10 billion rupees ($115.13 million) for subordinated bonds maturing in 10 years, three bankers said on Thursday.

The insurer will pay an annual coupon of 8.10% on this issue and had invited bids from bankers and investors earlier in the day, they said.

The issue has a call option at en of five years.

The company did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on February 13:

*Size includes base plus greenshoe for some issues

($1 = 86.8580 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Savio D'Souza)

(([email protected]))

MUMBAI, Feb 12 (Reuters) - India's HDFC Life Insurance HDFL.NS plans to raise 10 billion rupees ($115.6 million), including a greenshoe option of 1 billion rupees, selling subordinated bonds maturing in 10 years, three bankers said on Wednesday.

The insurer has invited bids from bankers and investors for the issue on Thursday, they said.

The company did not immediately reply to a Reuters email seeking comment.

Here is the list of deals reported so far on February 12

*Size includes base plus greenshoe for some issues

($1 = 86.5420 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Sumana Nandy)

(([email protected]))

MUMBAI, Feb 10 (Reuters) - India's Credila Financial Services has accepted bids worth 5.50 billion rupees ($62.6 million) for bonds maturing in 10 years, three bankers said on Monday.

The company will pay an annual coupon of 9.00% on this issue and had invited bids from bankers and investors on Friday, they said.

The company did not reply to a Reuters email seeking comment.

Here is the list of deals reported so far on Feb. 10:

*Size includes base plus greenshoe for some issues

($1 = 87.9050 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Sonia Cheema)

(([email protected]))

MUMBAI, Feb 6 (Reuters) - India's Credila Financial Services HDFR.NS plans to raise 7.40 billion rupees ($84.52 million), including a greenshoe option of 2.40 billion rupees, through the sale of bonds maturing in 10 years, three bankers said on Thursday.

The company has invited bids from bankers and investors for the issue on Friday, they said.

The company did not immediately reply to a Reuters email seeking comment.

Here is the list of deals reported so far on Feb. 6:

*Size includes base plus greenshoe for some issues

($1 = 87.5575 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Savio D'Souza)

(([email protected]))

** Top Indian private lender HDFC Bank HDBK.NS on Wednesday reported Q3 profit in-line with analysts' estimates; forecast industry-matching loan growth in FY26

** At least three analysts raised PT post results, with median PT now at 1,972 rupees vs 1,950 rupees a month ago - LSEG

VISIBILITY OF GROWTH IN QUARTERS AHEAD

** Bernstein ("outperform"; PT 2,300 rupees) says stable asset quality major positive for HDBK given most of its peers witnessing deterioration; sees better earnings growth in quarters ahead

** Jefferies ("buy"; PT 2,120 rupees) says catalysts in play with higher conviction over pick up in loan growth

** PhillipCapital ("buy"; PT 1,900 rupees) expects HDBK to gain market share in unsecured loan segment considering stability in asset quality

** Yes Securities ("add"; PT 1,995 rupees) says asset quality performance creditable given tough environment

(Reporting by Sethuraman NR)

(([email protected]; (+91 9945291420); Reuters Messaging: [email protected]))

** Shares of HDFC Bank HDBK.NS up 0.5%; co to report Q3 results later in the day

** Analysts expect India's top private lender to report 0.4% Q/Q drop in Q3 profit at 167.48 billion rupees, according to data compiled by LSEG

** HDBK had reported 1.2% sequential fall in its Q3 current account and savings account deposits in provisional update

** Provisional business data showed HDFC Bank seeing the slowest loan growth among other banks, Kotak Institutional Equities said

** Smaller rival Kotak Mahindra Bank KTKM.NS last week reported strong results

** Analysts' average rating on HDBK is "buy", median PT is 1,974 rupees, a 20% premium on last close - LSEG data

** HDBK rose 3.7% in 2024 vs 5.3% gains in the Nifty bank index .NSEBANK

(Reporting by Sethuraman NR in Bengaluru)

(([email protected]; (+91 9945291420); Reuters Messaging: [email protected]))

• HDFC Bank Ltd HDB.N, HDB is expected to report resultson January 22 for the period ending September 30 2024

• 
  

• ​LSEG's mean analyst estimate for HDFC Bank Ltd is for earnings of 53 cents per share.

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 4 "strong buy" or "buy," no "hold" and no "sell" or "strong sell."

• The mean earnings estimate of analysts was unchanged in the last three months. ​

• Wall Street's median 12-month price target for HDFC Bank Ltd is $75.80​, above​ its last closing price of $58.40. ​​​

This summary was machine generated January 20 at 11:03 GMT. All figures in US dollars unless otherwise stated. (For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact [email protected])

BENGALURU, Jan 15 (Reuters) - India's HDFC Life Insurance HDFL.NS reported a 14% rise in third-quarter profit on Wednesday, helped by growth in the sales of retail insurance policies.

The company, the first major Indian life insurer to report its quarterly results, said profit rose to 4.15 billion rupees ($48.05 million) for the three months ended Dec. 31, with net premium income growing 10%.

HDFC Life's claims paid during the Dec-quarter dropped 7% year-on-year.

Insurance penetration has historically been low in India, but rising financial awareness and accelerated demand for cover - especially for life and health insurance - after the COVID-19 pandemic has led to higher policy sales.

The company's value of new business (VNB), or expected profit from new policies - one of the key metrics for insurers - rose 14% year-on-year to 25.86 billion rupees in the nine months to Dec. 31.

New Business Premiums from retail policies rose 24% in the period, driven by a 15% rise in policies sold.

Annualised premium equivalent (APE) sales, which gives the annualised total value of all single-premium and recurring-premium policies, rose 20% to 102.93 billion rupees for the nine months.

ULIP GROWTH

Demand for market- or unit-linked insurance plans (ULIPs) -has been strong, especially in the first half of the fiscal year, driven by India's buoyant stock market.

ULIPs, which have lower profit margins, accounted for 37% of HDFC Life's overall product mix in terms of individual APE, up from 32% a year ago.

The rise in the share of ULIPs led to the VNB margin dropping to 25.1% for the nine months ended Dec. 31 from 26.5% a year earlier.

However, this was higher than the 24.6% the insurer reported at the end of September, as it pushed for sales for higher-margined policies.

($1 = 86.3730 Indian rupees)

(Reporting by Nishit Navin in Bengaluru; Editing by Janane Venkatraman)

(([email protected];))

** Indian private lender HDFC Bank HDBK.NS slides 1.7% to 1,720 rupees

** Stock is second top drag on Nifty 50 .NSEI, which is down 1.1%

** Co on Saturday said CASA (current account and savings account) deposits were 1.2% lower sequentially as of Dec. 31

** Gross assets under management grew 1.9% q/q

** Year-on-year, the two metrics grew 4.4% and 6.1%, respectively

** Nomura says HDBK's loan-to-deposit ratio (LDR) in Q3 was down 160 bps sequentially

** Soft CASA trends, decline in LDR and higher sequential growth in corporate segment all point towards downward pressure on net interest margin (NIM) in Q3 - brokerage

** Adds, outlook for loan growth over medium term should remain soft

** A combination of flat NIM and weak deposit growth in Q3 was not expected and drove shares lower - Bernstein

** Stock gained 3.7% in 2024 vs 9.4% rise in Nifty financial services index .NIFTYFIN

(Reporting by Manvi Pant in Bengaluru)

(([email protected]; +918447554364;))

MUMBAI, Jan 4 (Reuters) - India's HDFC Bank HDBK.NS saw quarter-on-quarter deposit growth outpace loan growth in the three months to December 31, the country's biggest private lender said on Saturday.

Deposits rose 4.2% to 24.53 trillion Indian rupees ($286.03 billion), slowing from 5.1% rise in July-September quarter, the Mumbai-based bank said.

Its low-cost current and savings account deposits rose 1.1%, it said.

Gross advances, or loans sanctioned and disbursed, rose 0.9% to 25.43 trillion rupees, slowing from 1.3% sequential growth in the previous quarter.

HDFC Bank has the most assets among all private banks in India. It merged with its parent HDFC in July 2023, adding a large pool of loans to its portfolio but a much smaller volume of deposits.

After the merger, the bank's loan-to-deposit ratio rose to around 110%, putting it under pressure to boost deposits or slow loan growth.

Over the past few months, it has offered retail loans for sale to reduce its loan-to-deposit ratio, a key metric for banks to assess their liquidity position.

In the December quarter, HDFC Bank securitised 216 billion rupees of loans "as a strategic initiative", it said.

Overall loan growth for Indian banks moderated for a fifth straight month in November, as lenders continued to rein in unsecured and personal loans after a central bank crackdown on "exuberant" lending.

Separately, HDFC Bank late on Friday said that the Reserve Bank of India had allowed it to acquire a stake of up to 9.5% in Kotak Mahindra Bank KTKM.NS, AU Small Finance Bank AUFI.NS and Capital Small Finance Bank CPIA.NS within a year from the approval date.

($1 = 85.7610 Indian rupees)

(Reporting by Siddhi Nayak; editing by Jason Neely)

(([email protected]; +91 22 6921 7848; Reuters Messaging: X: https://twitter.com/siddhiVnayak))

** HDFC Bank HDBK.NS down 1.8%; CLSA drops India's largest private lender from its local portfolio in 2025 strategy review

** CLSA says removal comes ahead of potential rate cuts

** CLSA also cuts "overweight" stance on banks, but stays "overweight" on commodities and insurance

** It adds Tata Motors TAMO.NS, Britannia BRIT.NS, NTPC NTPC.NS and Nestle India NEST.NS

** Among them, TAMO gains most with a 4% jump, while BRIT's 0.8% rise is the least

** CLSA says the added stocks are at least 20% off their 52-weeks highs, help shield from macro turbulence ahead of Trump returning to power in US

(Reporting by Nandan Mandayam in Bengaluru)

(([email protected]; Mobile: +91 9591011727;))

Updates for morning trade

By Bharath Rajeswaran

Dec 23 (Reuters) - India's benchmark indexes rose on Monday, led by heaviest weighted HDFC Bank HDBK.NS and metals and tracking gains in regional peers on the back of benign U.S. inflation data.

The Nifty 50 .NSEI climbed 0.73% to 23,758.2 points as of 10:37 a.m. IST, while the BSE Sensex .BSESN gained 0.73% to 78,609.47.

All 13 major sectors advanced. Financials .NIFTYFIN added 1.2%, led by private lender HDFC Bank's HDBK.NS nearly 2% gain.

HDFC Bank offers safety for investors due to its attractive valuations and asset quality that is likely to outperform peers, said analysts at Emkay Global, raising the stock's target price to 2,100 rupees from 2,000 rupees.

Metal stocks .NIFTYMET rose 1.3% after India's Directorate General of Trade Remedies initiated safeguard probe on imports of non-alloy and alloy steel flat products.

The initiation of the investigation on appeal from domestic steelmakers' association is positive for metals, Investec said, adding that Tata Steel TISC.NS and JSW Steel JSTL.NS could benefit the most from the imposition of safeguard duty.

Tata Steel advanced 1.7% and JSW Steel gained 3%.

The broader more domestically-focussed smallcaps .NIFSMCP100 and midcaps .NIFMDCP100 traded flat.

"This bounce-back in India's benchmark indexes was expected after the sharp drop last week and there isn't much to read into this," said Raghvendra Nath, managing director at Ladderup Wealth Management.

"Recovery in corporate earnings is absolutely vital for markets to rebound because all these minor gains on the back of corrections cannot sustain without earnings delivery."

Other Asian shares rallied on the day after data on Friday showed U.S. personal consumption expenditures price index rose 0.1% in November after October's 0.2% rise.

The MSCI Asia ex-Japan index .MIAPJ0000PUS jumped 1.3%. MKTS/GLOB

Among individual stocks, India Cements ICMN.NS soared 8% after India's competition watchdog approved Ultratech Cement's ULTC.NS stake purchase in India Cements.

Sterling and Wilson Renewable Energy STEN.NS gained 4% on securing a solar project order worth 12 billion rupees.

($1 = 85.0010 Indian rupees)

(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Varun H K, Mrigank Dhaniwala and Sumana Nandy)

(([email protected]; +91 9769003463;))

MUMBAI, Dec 19 (Reuters) - India's HDB Financial Services has accepted bids worth 5.50 billion rupees ($64.7 million) for the reissue of 7.9880% December 2026 bonds, three bankers said on Thursday.

The company will offer a yield of 7.84% and had invited bids from bankers and investors earlier in the day, they said.

HDB Financial Services did not immediately respond to a Reuters email seeking comment.

Here is the list of deals reported so far on Dec. 19:

*Size includes base plus greenshoe for some issues

($1 = 85.0470 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Varun H K)

(([email protected]))

MUMBAI, Dec 18 (Reuters) - India's HDB Financial Services plans to raise 10 billion rupees ($117.8 million), including greenshoe option of 5 billion rupees, through the sale of bonds maturing in two years and 11 months, three bankers said on Wednesday.

The company has invited bids from bankers and investors on Thursday, they said.

HDB Financial Services did not immediately respond to a Reuters email seeking comment.

Here is the list of deals reported so far on Dec. 18:

*Size includes base plus greenshoe for some issues

($1 = 84.9170 Indian rupees)

(Reporting by Dharamraj Dhutia
Editing by Eileen Soreng)

(([email protected]))

** Shares of India's largest private lender HDFC Bank HDBK.NS fall 1.2% to 1,843 rupees

** Stock among top losers on Nifty private bank index .NIFPVTBNK, which is down 0.92%

** HDBK said on Monday it got administrative warning from markets regulator SEBI over non-compliance with certain provisions

** It previously received a warning letter from SEBI on Thursday over observations made during the course of its periodic inspection

** Avg rating of 39 analysts is a "buy"; median PT is 1,950 rupees - LSEG data

** Stock up 8% YTD vs a 3.2% gain in private bank index

(Reporting by Ashna Teresa Britto in Bengaluru)

(([email protected]))

Dec 16 (Reuters) - HDFC Bank Ltd HDBK.NS:

• HDFC BANK LTD - SEBI ISSUES ADMINISTRATIVE WARNING LETTER TO HDFC BANK

• HDFC BANK - GETS COPY OF SEBI WARNING LETTER DATED DEC 10

Source text: ID:nBSE7SXTnM

Further company coverage: HDBK.NS

(([email protected];))

Dec 12 (Reuters) - HDFC Bank Ltd HDBK.NS:

• HDFC BANK LTD - SEBI ISSUES ADMINISTRATIVE WARNING LETTER TO HDFC BANK

• HDFC BANK LTD - SEBI ALLEGES NON-COMPLIANCES WITH MULTIPLE REGULATIONS BY HDFC BANK

• HDFC BANK LTD - NO FINANCIAL OR OPERATIONAL IMPACT ON HDFC BANK

Source text: ID:nBSEw7Rvm

Further company coverage: HDBK.NS

(([email protected];))

MUMBAI, Dec 11 (Reuters) - India's HDFC Credila Financial Services plans to raise 5 billion Indian rupees ($58.93 million), including a greenshoe option of 3.50 billion rupees, through bonds maturing in five years, three bankers said on Wednesday.

The company has invited bids from bankers and investors for the issue on Thursday, they said.

The company did not immediately reply to a Reuters email seeking comment.

Here is the list of deals reported so far on Dec. 11:

*Size includes base plus greenshoe for some issues

($1 = 84.8420 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Janane Venkatraman)

(([email protected]))

Dec 9 (Reuters) - HDFC Bank Ltd HDBK.NS:

• ZAGGLE PREPAID OCEAN SERVICES - ENTERED INTO AGREEMENT WITH HDFC BANK

• ZAGGLE PREPAID OCEAN SERVICES - TO OFFER HDFC CREDIT CARDS BUNDLED WITH ZAGGLE SOFTWARE

Source text: ID:nnAZN2RZ9BZ

Further company coverage: HDBK.NS

(([email protected];))

MUMBAI, Dec 3 (Reuters) - India's HDB Financial Services plans to raise 5 billion rupees ($59 million) through the reissue of 7.84% July 2026 and 7.9611% January 2028, three bankers said on Tuesday.

The company has invited bids from bankers and investors on Thursday, they said.

HDB Financial Services did not immediately respond to a Reuters email seeking comment.

Here is the list of deals reported so far on Dec. 3

*Size includes base plus greenshoe for some issues

($1 = 84.7210 Indian rupees)

(Reporting by Dharamraj Dhutia
Editing by Sonia Cheema)

(([email protected]))

By Dharamraj Dhutia

MUMBAI, Dec 2 (Reuters) - Indian government bond yields are "attractive," and macroeconomic indicators such as slowing growth and demand-supply dynamics are bolstering the case for longer-duration fixed income investments, an executive at India's third-largest asset manager said.

"...Given the macroeconomic factors are favourably placed, the current level of yields present an opportunity to increase duration on risk-reward adjusted basis," said Shobhit Mehrotra, head of fixed income at HDFC Asset Management.

The fund house manages assets worth around 7.6 trillion rupees ($89.8 billion) as of end-September.

India's benchmark 10-year bond yield IN10YT=RR has eased seven basis points to 6.73% since data on Friday showed economic growth slowed much more than expected in the third quarter.

Optimism over Indian bonds also emanates from comfortable external sector conditions, and likely abating of food inflation pressure post arrival of kharif (summer-sown) crops, Mehrotra said.

"Our focus remains more medium-term, and we believe that Indian yields are likely to trend lower over that horizon."

India's headline retail inflation jumped to 6.21% in October, which led to a pushback in rate easing expectations, but weaker growth has re-ignited chances of rate cuts soon.

The overnight index swap rates are pricing in 50 basis points of rate cuts by the Reserve Bank of India till April.

Mehrotra said he expects headline inflation to move closer to the RBI's medium-term target of 4% by the next financial year, helped by a favourable base effect, arrival of new kharif crops, moderating domestic growth, fading pent-up demand and benign core inflation momentum.

The RBI's monetary policy committee is set to announce its decision on Friday, with rising calls for easing in rates or liquidity, or even both.

For the time being, Mehrotra expects the central bank to adopt a wait-and-watch approach and "perhaps consider rate cuts sometime starting in February or April."

($1 = 84.6700 Indian rupees)

(Reporting by Dharamraj Dhutia; Editing by Varun H K)

(([email protected];))