You are here: Home » Markets » News
Business Standard

NTPC shares slip 5%, near 52-week low after multiple block deals

Till 01:20 pm, a combined 31 million equity shares, representing 0.3 per cent of NTPC's total equity, had changed hands on the NSE and BSE

NTPC Limited | Buzzing stocks | Markets

SI Reporter  |  Mumbai 

The state government holds a 26.85 per cent stake in SJVN, which owns and operates 2 GW of hydro power projects

Shares of NTPC slipped 5 per cent to Rs 78.20 on the BSE on Wednesday after more than three-million equity shares of the company changed hands through multiple block deals. The stock of the state-owned electric utility company was trading close to its 52-week low of Rs 74, touched on March 23, 2020.

Till 01:20 pm, a combined 31 million equity shares, representing 0.3 per cent of NTPC's total equity, had changed hands on the NSE and BSE, the exchange data shows.

NTPC, after market hours yesterday, announced that the company has decided to raise Rs 4,000 crore on October 15, 2020, through private placement of unsecured non-convertible bonds in the debentures at a coupon of 5.45 per cent p.a. with a door to door maturity of 5 years on October 15, 2025.

The proceeds will be utilized for, inter alia, funding of capital expenditure, refinancing of existing loans and other general corporate purposes.

The bonds are proposed to be listed on both NSE & BSE. Bond Trust Deed for these bonds will be duly executed as per the requirements of and within the period of time prescribed under the Companies Act and rules specified therein, it said.

“In its endeavor to become a 130 GW Company by 2032, the Company has envisaged an aggressive capital expenditure plan which is also aligned with the National Infrastructure Pipeline of the Government of India. An action plan has been prepared by the Company for capital expenditure of over Rs 1 trillion for the period of 2019-2024. The Company has adopted a dynamic debt strategy for raising long term debt at optimal cost for meeting its capital requirement”, NTPC said in 2019-20 annual report.

In the past year, NTPC has underperformed the market by falling 33 per cent, as compared to 5.6 per cent rise in the S&P BSE Sensex.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, October 14 2020. 13:44 IST