NTPC prices dollar bonds at 170 bps over US T-yield

NTPC has priced its 10-year dollar bonds at 170 basis points (bps) over the corresponding US Treasury yield to raise $400 million, according to sources. The initial price guidance on the bonds was 180 bps over the US Treasury, which got compressed by 10 bps at the time of final pricing. The bonds are being issued in the Reg S format, which allows investors from Asia and Europe to participate. “The market conditions are not quite easy as of now because there is plenty of supply coming in from Asia. However, we have got a good quality orderbook for the issue,” said a source. Moody’s Investors Service has assigned a Baa2 rating to the proposed senior unsecured dollar notes to be issued by NTPC. The rating outlook is stable, it said.