NTPC raises `2k cr via masala bonds for capital expenditure
The state-owned power giant NTPC on Wednesday raised Rs 2,000 crore through issuance of rupee- denominated bonds under its $4 billion medium term note programme for capital expenditure.
"Issue of rupee-denominated Rs 2,000 crore, 7.25 per cent notes due 2022 payable in the US dollar issued pursuant to $4 billion medium term note programme by NTPC Limited," NTPC said in a BSE filing on Wednesday.
According to the statement, NTPC has launched an issue of Rs 2,000 crore notes due 2022 priced on April 25. The paper carries a coupon of 7.25 per cent per annum.
The notes will mature on May 3, 2022, and all rupee principal and interest payments will be made in dollars. These are expected to be settled by May 3, 2017.
The masala bonds represent direct, unconditional and unsecured obligations of NTPC and will rank pari passu among themselves and all other unsecured obligations of the issuer and will be listed on Singapore and London stock exchanges, it said.
Net proceeds will go towards financing capital expenditure of ongoing and/or new power projects and renovation and modernisation of power stations in accordance with applicable law and will not be used for projects outside India.