HUDCO signs MoU with Bihar govt for ₹25,000 crore industrial infrastructure funding

According to the MoU, HUDCO said it aims to provide financial assistance over a period of five years for the development of industrial infrastructure, including the acquisition of land for the projects.

The Government of Bihar is undertaking development of industrial park projects across different districts of the state for which it requires timely availability of land.

“Infrastructure Development Authority, Bihar (IDA) has been entrusted by the Government of Bihar with facilitating and/or implementing identified infrastructure development initiatives including development of industrial park (hereinafter referred to as the Project) in the State and to fulfil responsibilities it may be required to undertake acquisition, purchase, consolidation or development of land and development of enabling infrastructure for Industrial Park projects,” said HUDCO in a regulatory filing.

HUDCO will provide term loans to the extent of ₹25,000 crore for the development of the industrial infrastructure, including the acquisition of land for the project. The loan will be availed in tranches by the statutory authority specifically designated by the State Government, the company said.

The financial institution firm will provide funds on flexible terms and conditions, including a moratorium period with a flexible repayment schedule of up to 25 years, with the option of prepayment.

“This MoU is executed to put on record the intent of Parties to undertake the activities as stated. This MoU shall remain valid for 3 years from the date of execution subject to annual review,” HUDCO said.

The company further said that the loan will be repaid by escrowing revenue generated from the project or by ring-fencing other revenue sources from identified receivables or the state budget to ensure timely payments to HUDCO.

Separate operational agreements with a specified scope of work, terms and conditions will be executed between the parties based on mutually agreed terms, keeping in view the requirements of the projects.

HUDCO Q1 earnings

The housing and urban infrastructure projects financier had reported a 35.05% rise in consolidated net profit to ₹851 crore for the June quarter of FY27.

The company had posted a consolidated net profit of ₹630.23 crore in the April-June quarter a year ago.

Revenue from operations rose by 26.55% to ₹3,717.17 crore in the June quarter of FY27. It was at ₹2,937 crore in the year-ago period.

The company's net interest income (NII) rose 21.1% to ₹1,149 crore in the quarter under review as against ₹949 crore in the same period of FY26.

HUDCO share price trends

On Wednesday, HUDCO shares settled at ₹178.35 apiece on the National Stock Exchange, falling 0.13%.

From the beginning of the year, HUDCO shares have slipped 22%. Over a month’s time, the stock has lost 11%, while for a six-month period, it has declined 2%.

Shares of the firm had hit a 52-week high of ₹246.85 on November 18, 2025, and a 52-week low of ₹159 on March 30, 2026.

According to NSE data, as of September 2, 2026, HUDCO has a total market capitalisation of ₹35,709.89 crore.