NTPC to issue debentures worth ₹2,000 cr on Aug 25 at 7.44% coupon rate
Premium- NTPC plans to utilise the proceeds from the issue for funding capital expenditure, refinancing existing loans, and other general corporate purposes.
Government-owned NTPC will be issuing unsecured non-convertible debentures to the tune of ₹2,000 crore on August 25 via private placement. The bonds will have a coupon rate of 7.44% per annum. On Tuesday, NTPC shares witnessed buying sentiment before closing in the green.
The maturity period of the debentures will be 10 years, ending on August 25, 2032.
In its regulatory, NTPC said, "we wish to inform that, NTPC has decided to issue unsecured non-convertible debentures of Rs.2,000 crore on 25 August 2022, through private placement at a coupon of 7.44% p.a. with a door-to-door maturity of 10 years on 25 August 2032."
The debentures are proposed to be listed on NSE.
Notably, these debentures are issued under the approval obtained through the shareholders’ resolution dated 28 September 2021.
NTPC plans to utilise the proceeds from the issue for funding capital expenditure, refinancing existing loans, and other general corporate purposes.
Further, the company said, Debenture Trust Deed will be duly executed as per the requirements of and within the period of time prescribed under the Companies Act and rules specified therein.
On BSE, NTPC shares closed at ₹158.35 apiece up by 1.15%. The shares were near the day's high of ₹159.30 apiece.
MINT PREMIUM See All
The company's market valuation is around ₹1,53,546.71 crore.
In Q1FY23, NTPC reported a more than 15% rise in consolidated net profit at ₹3,977.77 crore compared to ₹3,443.72 crore in the same quarter last year. Consolidated total income for the first quarter of FY23 stood at ₹43,560.72 crore from ₹30,390.60 crore reported during the year-ago period.
During the quarter, NTPC's gross power generation was at 86.88 billion units compared to 71.74 billion units in the same period a year ago. Domestic coal supply for its plants in the latest quarter under review stood at 51.24 million tonnes, up from 45.81 million tonnes in the year-ago period. The company's coal production (from captive mines) in Q1FY23 stood at 4.10 million tonnes, up from 2.46 million tonnes in the same period a year ago.
NTPC is the country's largest power utility with an installed capacity of 69,134.20 MW, including joint ventures.
Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less