India's Housing Development Finance Corp (HDFC) plans to raise up to 200 billion rupees ($2.42 billion) through the sale bonds maturing in 10 years, three bankers said on Thursday.

The housing financier will pay a coupon of 7.75% and is likely to invite bids from investors and arrangers for the proposed issue on Monday, they said.

The latest issue comes as HDFC is set to merge with HDFC Bank in the coming months.

"This could well be our last bond issue before the merger," a senior official at the company said.

The issue will have a base size and greenshoe option of 100 billion rupees each.

The bonds are rated AAA by Crisil and India Ratings, and the issue will be settled later next week.

In May, HDFC raised 82.35 billion rupees via bonds maturing in two years at a coupon of 7.80%.

It has raised around 328.75 billion rupees through bonds in the current financial year so far.

The company is yet to make an official announcement, and did not immediately reply to Reuters' email for comments. ($1 = 82.5525 Indian rupees) (Reporting by Bhakti Tambe; Editing by Sonia Cheema)