Tata Power’s wholly owned subsidiary -- Coastal Gujarat Power (CGPL) -- which implemented the 4000 MW Mundra UMPP has completed refinancing of the outstanding ECB loans amounting to $770 million (around Rs 5,500 crore) through a mix of INR-denominated debt instruments and equity funding from the proceeds of divestment of noncore assets of the company. The refinancing of USD loans of CGPL will help in rescheduling the cash requirements as well reducing the effective interest cost apart from reducing foreign exchange related volatility for CGPL.
This is also expected to ease cash flow burden resulting from the continuing losses due to the continuing under-recoveries in the Mundra Ultra Mega Power Project.
Tata Power is India’s largest integrated power company with a growing international presence. The company together with its subsidiaries and jointly controlled entities has presence in all the segments of the power sector viz. Fuel Security and Logistics, Generation (thermal, hydro, solar and wind), Transmission, Distribution and Trading.
