Hubtown to use preferential issue proceeds for debt repayment

Hubtown Limited is undertaking a preferential issue of 14,680,249 fully paid-up equity shares. These shares, with a face value of INR 10 each, are being issued at a price of INR 341, aggregating to INR 5,00,59,64,909. The primary objective of this issue is to utilize INR 150.00 Crores from the proceeds towards the repayment and prepayment of the company’s existing loans and borrowings.

The company confirmed that the entire INR 150.00 Crores from the proposed issue will be exclusively applied towards the repayment and prepayment of its secured loans and borrowings. No portion of this amount will be used for the prepayment or repayment of any unsecured loans or borrowings.

This disclosure, made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, aims to ensure transparency and compliance with applicable regulatory requirements. The move is expected to enhance Hubtown's financial health by reducing its secured debt obligations.