NLC India to raise Rs 525 cr via bonds

State-owned NLC India on Friday said it will raise Rs 525 crore through issuance of bonds on a private placement basis.

The proceeds of the proposed issue will be utilised to replace the equity deployed in the projects and operation over the normative level by the debt, and for other corporate requirements.

"The Company has decided to raise Rs 525 crore through private placement of Secured, Non-Cumulative, Non-Convertible, Redeemable, Taxable Bonds (Series I of 2020) in the nature of Debentures at a coupon of 7.36 per cent per annum with a door to door maturity of 10 years, as per the bidding process held on January 23, 2020," it said in a BSE filing.

Security for these bonds will be duly created as per the requirements of and within the period of time prescribed under the Companies Act and rules specified therein, it added.

NLC India is into mining (coal & lignite) and power generation (thermal and renewable energy).