NTPC to Raise Rs 18000 Crore via Bonds for Expansion

State owned power company NTPC is planning to raise up to Rs 18000 crore through the issue of non convertible debentures or bonds via private placement in the domestic market as part of its expansion strategy

In a regulatory filing NTPC informed that it has issued a postal ballot notice to seek shareholder approval for the proposed fundraise The company plans to issue secured or unsecured redeemable taxable or tax free cumulative or non cumulative NCDs in one or more tranches not exceeding twelve The bonds will be issued within one year from the date the special resolution is passed

The board of directors approved the draft notice on June 21 2025 NTPC has fixed June 20 2025 as the cut off date to determine the list of eligible shareholders who can receive the postal ballot and vote on the resolution The remote e voting process will begin on June 24 and continue till July 23 2025

The company stated that as it is currently undergoing capacity expansion a large part of its capital expenditure will be met through debt This includes funding through NCDs rupee term loans from banks and financial institutions and foreign currency bonds

In addition to funding expansion NTPC will also use part of the raised funds to meet its working capital requirements and for other general corporate purposes The NCDs may be issued through public offers or private placements based on market conditions