To calm investors, Indiabulls Housing-Fin says liquidity position healthy

To quell concerns from investors that housing finance companies (HFCs) are facing liquidity issues, Indiabulls Housing Finance (IBHFL) on Monday said the company has a healthy liquidity position standing at Rs 200 billion as of September 2018.

Assuming there are no fresh borrowings by the company, IBHFL's six-month liquidity coverage ratio stands at 135 per cent as of date, the company said in filings with the BSE. During the January to March quarter of FY18, the company's cash position stood at Rs 165 billion, as compared to Rs 211 billion of cash available during the October to December quarter of FY18.

Despite consistently growing quarter-after-quarter, the liquidity (cash) in the company fell to its lowest level in the January to March quarter of FY18, since the April-June quarter of FY17.

Over the last 15 days, IBHFL engaged in a Rs 18.2-billion buy-back from the secondary market, and has raised about Rs 36.2 billion through primary issuances. Further, about Rs 4.1 billion worth of IBHFL debt paper were traded, the company said.