NTPC to raise $750 mn through bonds, syndicate loans

Expects to see a capacity addition of 4,160 MW in the current financial year of which over 2,100 MW has already been installed

State-owned power firm NTPC today said it would raise up to $750 million through bonds and syndicate loans in the current fiscal and is awaiting the Finance Ministry's nod.

"We plan to raise $500 to 750 million through bond issue, and if we are unable to raise up to $750 million through bond issue we would raise $250 million via syndicated loans," CMD NTPC Arup Roy Choudhury told reporters here.

"We are hopeful of raising this amount this fiscal as soon as we receive Finance Ministry's approval for the same," he said.

The company has set a capital expenditure plan of Rs 20,000 crore during the current fiscal.

"Our capex for 12th plan period (2012-17) is Rs 2,19,000 crore," he said.

NTPC said it expects to see a capacity addition of 4,160 MW in the current financial year and out of that target, over 2,100 MW has already been installed.

Faced with coal shortages, the state-run major has generated nearly two billion units of electricity less so far this fiscal, Choudhury said.

However, he emphasised it would not have any impact on the company's financials.

Regarding government's plan to divest about 9.5% stake in the company, Choudhury said he has not heard anything on the same from the government.

However, he said that earlier NTPC had informed the Disinvestment Department that it was not right time to raise money from the stock market.

Responding to a query on whether it plans to issue fresh equity, he said the company does not need money for capacity expansion and funds have already been tied up.

In the current fiscal, the company would require about 164 million tonne of coal if the plants are to run at 90% Plant Load Factor (PLF).

During this period, it plans to import about 16 million tonne of coal.

NTPC, which has an installed capacity of 39,174 MW, expects to see a capital expenditure of Rs 20,000 crore in 2012-13 period.

"Our capex for 12th plan period (2012-17) is Rs 2,19,000 crore," Choudhury said.

As on date, the company is constructing power projects having total capacity of 16,809 MW.