Tata Power's liquidation of non-core assets to gain steam: Report

Company's debt-equity ratio seen falling to 1.96 by FY21

The liquidation of Tata Power's non-core assets is expected to pick up pace during H2 of FY20 leading to a partial repayment of non-core debt.

The monetisation of non-core assets is also set to spur an earnings growth of 28 per cent CAGR (compounded annual growth rate) over FY20-21 with an underlying Ebitda (earnings before interest, taxes depreciation and amortisation) of Rs 10,000 crore growing at five per cent CAGR, a research report by ICICI Securities said.

For Tata Power, paring non-core debt is its core focus. As per the estimates of ICICI Securities, out of the the company's total debt of