NTPC Ltd.

NTPC is planning to raise Rs 15,000 crore from the Green Masala Bonds for which the board has already given its approval. The company has 24,059 MW of power plants under construction, of which about 4,500 MW of plants will be commissioned this year. Therefore, it will require about Rs 1.5 lakh crore for the construction the plants (24,059 MW), which will be raised by debts and internal accruals.

The company is in sound financial health with a debt to equity ratio of 1:1.03, therefore, fund raising is not very challenging. NTPC’s average cost of borrowing is 8 per cent and therefore, it is exploring the rate at which the bonds could offer the funds.

NTPC is an Indian central Public Sector Undertaking (PSU) under the Ministry of Power, Government of India, engaged in the business of generation of electricity and allied activities.