Tata Power launches FCCB Offering of upto US$ 300 mn

The Tata Power Company Limited, India’s largest Private Power Company has launched and priced a US$ 250 Million+ upsize option of US$50 Million, 5 years and 1 day, 1% - 1.75% coupon Foreign Currency Convertible Bond/Bonds (FCCB) offering subject to fulfillment of certain conditions to the closing of the Issue.

The Bonds are convertible at 10% premium over the closing price of the Company’s shares on National Stock Exchange of India Limited on 5th November 2009 listed and bear a yield to maturity of 3.5% p.a. calculated on a semi-annual basis.

These bonds are expected to be listed on the Singapore Stock Exchange. Nomura is the Sole Underwriter and Bookrunner to the offering.

Tata Power intends to use the aggregate net proceeds from this issue for capital expenditure of its existing power plants, projects under implementation and other project plants of the Company (including projects undertaken through its subsidiaries).

About Tata Power:
Tata Power is India's largest private sector power utility with an installed generation capacity of over 2900 MW and a presence in all the segments of the power sector viz Generation (thermal, hydro, solar and wind), Transmission, Distribution and Trading. The Company has successful public-private partnerships in Generation, Transmission and Distribution - "North Delhi Power Limited" with Delhi Vidyut Board for distribution in North Delhi, 'Powerlinks Transmission Ltd.' with Power Grid Corporation of India Ltd. for evacuation of Power from Tala hydro plant in Bhutan to Delhi and 'Maithon Power Ltd.' with Damodar Valley Corporation for a 1050 MW Mega Power Project at Jharkhand. It has acquired 30% stake in Coal Companies at Indonesia and is developing the first 4000 MW Ultra Mega Power Project at Mundra (Gujarat) based on super-critical technology. With its track record of technology leadership, customer care and redefining contours of the Indian power sector, Tata Power is poised for a five-fold growth and committed to 'lighting up lives' for generations to come.