NTPC tax-free bonds issue to open on December 3

State-run NTPC has come out with its public issue of tax-free secured redeemable non-convertible bonds of a face value of Rs 1,000 each in the nature of debentures having tax benefits, aggregating up to Rs 1,750 crore (Including option to retain oversubscription of Rs 750 crore).

The issue will open for subscription on December 3, 2013 and is scheduled to close on December 16, 2013.

The company is the largest power producer in India in terms of both installed capacity and generation, with aggregate installed capacity of 41,184 MW (including 35,820 MW through directly owned units and 5,364 MW through subsidiaries and joint ventures), representing market share of 18.44 percent of India’s total installed capacity as on March 31, 2013.

 

 

 

 

 

 

 

 

Source Emkay

 

The object of the issue is to utilise the fund for funding of capital expenditure and refinancing for meeting the debt requirement in on-going projects, including recoupment of expenditure already incurred.

The bonds are proposed to be listed on BSE and NSE. AAA is the credit rating assigned to the bond by ICRA and CRISIL.

A K Capital Services Limited, Axis Capital Limited, ICICI Securities Limited, Kotak Mahindra Capital Company Limited and SBI Capital Markets Limited are the lead managers to the issue. Karvy Computershare Private Limited is a registrar.