Rural Electrification Corporation Ltd is a Navratna Central Public Sector Enterprise under the Ministry of Power. The company is engaged in the financing and promotion of transmission distribution and generation projects throughout India. Their main objective is to finance and promote rural electrification projects all over the country. They provide financial assistance to State Electricity Boards State Government Departments and Rural Electric Cooperatives for rural electrification projects sponsored by them. The company provides loan assistance to SEBs/State Power Utilities for investments in rural electrification schemes through its extensive network of 23 offices across the country. The Project Offices in the States coordinate the programmes of REC's financing with the concerned SEBs/State Power Utilities and facilitate in formulation of schemes loan sanction and disbursement and implementation of schemes by the concerned SEBs/ State Power Utilities.The company assists clients in formulating and implementing a broad array of power projects and finance those projects. Their clients primarily include Indian public sector power utilities at the central and state levels and private sector power utilities. Their primary financial product is project-based long-term loans. They fund their business with market borrowings of various maturities including bonds and term loans.Rural Electrification Corporation Ltd was incorporated on July 25 1969 at New Delhi as a private limited company with the name Rural Electrification Corporation Pvt Ltd. In the year 1970 the company commenced lending operations to SEBs. In the year 1979 they set up CIRE in Hyderabad. In the year 1988 the company launched Kutir Jyoti and Jal Dhara programmes for rural electrification. In the year 1992 the company was declared a public financial institution. In the year 1993 the company entered into MoU with the MoP for the first time to achieve certain performance related targets. In February 1998 the company was registered as a Non Banking Financial Company. In the year 2002 the company was granted Mini Ratna - I Status. In September 27 2002 the company was converted into a public limited company and the name was changed to Rural Electrification Corporation Ltd. From the year 2002 the company diversified into financing of Generation projects for creation of new generation capacity.In the year 2005 the company was appointed as the nodal agency for RGGVY. In the year 2006 the company entered into agreement with Japan International Cooperation Agency for availing a loan facility of JPY 20629 million. Also they entered into an agreement with KfW Frankfurt am Main for availing a loan facility of Euro 70 million.In the year 2007 the company entered into a syndicated facility agreement with Standard Chartered Bank and DEPFA Investment Bank for availing a loan facility of JPY 23570 million. In January 2007 REC Transmission Projects Company Ltd a subsidiary company was incorporated as a public limited company with the main object of REC TPCL is to promote organize and carry on the business of consultancy services and/or Project implementation in any field of activity relating to transmission & distribution of electricity in India or abroad.During the year 2007-08 the company made an Initial Public Offer and their shares were listed on the stock exchanges. In the Post-IPO scenario the shareholding of the Government of India has reduced from 100% to 81.82%. The company entered into agreement with Japan International Cooperation Agency for availing a loan of JPY 20902 million. In May 2008 the company was granted 'Navratna' status by the Department of Public Enterprise GoI for their operational efficiency and financial strength which affords greater operational freedom and autonomy in decision making. During the year 2008-09 the company sanctioned 20 Nos of new generation/R&M loans and 3 Nos additional loan assistance with total financial outlay of Rs.21525.31 crore including consortium financing with other financial institutions. Also they sanctioned a total of 317 system improvement schemes and bulk loan schemes involving a loan outlay of Rs.14511.49 crore. They reported 188743 electric irrigation pumpsets energized under REC financed schemes. Also the company entered into agreement with KfW Frankfurt am Main for availing a loan facility of Euro 70 million.During the year 2009-10 the company sanctioned 26 Nos of generation / R&M loans including 5 Nos additional loan assistance with total financial outlay of Rs.24031.32 crore. Also they sanctioned a total of 289 system improvement schemes and bulk loan schemes involving a loan outlay of Rs.15421.64 crore. They reported 240020 electric irrigation pumpsets energized under REC financed schemes. Also the company made the Further Public Offer (FPO) during the year and the shareholding of the Government of India in the company reduced to 66.80%. During the year 2010-11 the Company sanctioned 34 nos. of generation loans including additional loan assistance with total financial outlay of Rs 40101 crore including consortium financing with other financial institutions. During the year 11 nos. Renewable Energy projects including 6 nos. Solar projects were sanctioned with total project cost of Rs 621.06 crore and loan assistance of Rs 390.71 crore. In September 17 2010 Reserve Bank of India (RBI) categorized the company as an Infrastructure Finance Company (IFC). In December 2010 the company's subsidiary REC Transmission Projects Company Ltd sold 50000 shares held in Raichur Sholapur Transmission Company Ltd to consortium of Patel engineering Ltd Simplex Infrastructure Ltd and BS TransComm Ltd for a consideration of Rs 18.89 crore. In April 21 2011 Vemagiri Transmission System Ltd (a wholly owned subsidiary of RECTPCL) was incorporated in respect of Transmission System associated with IPPs of Vemagiri Area: Package A.The company received India Pride Award 2010 for being adjudged 'The Best NBFC' and also Third DSIJ Award 2010-11 - 'Speed King' for fastest growing PSUs across Maharatnas Navratnas & Miniratnas. The company also featured in Dun & Bradstreet's India's Top PSUs 2011.During 2012 the corporation sought the approval of Reserve Bank of India (RBI) for issuing bonds to raise up to USD 500 million. The company was awarded India Today - PSUs Awards 2014 for Best HR Practices. During the year the company Signed MoU with Ministry of Power for the Financial Year 2014-15. In 2015 the corporation has signed two separate agreements with Andhra Pradesh Power Generation Corporation Limited and Transmission Corporation of Andhra Pradesh Limited. During the year the Corporation incorporated three Project Specific Special Purpose Vehicles (SPVs) as Subsidiary Companies of Rural Electrification Corporation Limited. The Board of Directors of REC at its meeting held on 11 August 2016 recommended the issue of bonus shares in the ratio of 1:1.MOUs were signed between REC Limited and APGENCO APTRANSCO and AP DISCOMS on 27 January 2017 for extending a financial assistance to the tune of Rs 60000 crore to the power utilities in Andhra Pradesh for the next five years (till March 2022). As per the MOU APGENCO can avail debt of Rs 40000 crore for generation projects and other loan requirements. APTRANSCO can avail a debt of Rs 10000 crore for transmission system strengthening augmentation upgradation new transmission power evacuation R&M projects etc. in the upcoming capital region and other districts of Andhra Pradesh. APEPDCL and ADSPDCL can avail a debt of Rs 10000 crore for implementation of Distribution projects in the state for strengthening augmentation upgradation of distribution infrastructure sub-transmission system new distribution under-ground cabling works R&M works works under DDUJGY & IPDS implementation of smart grid smart meters creation of distribution infrastructure for agricultural services conversion of conventional pump sets into solar pump sets etc. Apart from financial assistance power utilities have agreed to avail consultancy and management services from REC's subsidiaries for their various activities/projects for the next five years.Loan agreements were signed between REC and TANGEDCO TANTRANSCO for financial assistance of Rs 6890 crore on 28 January 2017 in Chennai for implementation of 1X 800 MW super critical thermal power plant at North Chennai renovation and modernisation of TANGEDCO' s existing thermal power plants and establishment of new 765 KV 400 KV substations in and around Chennai.On 6 February 2017 REC announced that it has entered into Memorandums of Understanding (MoUs) with Karnataka Power Corporation Limited (KPCL) and Bangalore Electricity Supply Company Limited (BESCOM) for extending financial assistance to the tune of Rs 39121 crore for the next five years (i.e. till March 2022); i.e. financial assistance upto Rs 27121 crore to KPCL and upto Rs 12000 crore to BESCOM.On 20 February 2017 REC announced that it has entered into Memorandums of Understanding (MoUs) with Jharkhand Bijli Vitran Nigam Limited (JBVNL) and Jharkhand Urja Sancharan Nigam Limited (JUSNL) for extending financial assistance to the tune of Rs 15150 crore; i.e. financial assistance upto Rs 8150 crore to JBVNL and upto Rs 7000 crore to JUSNL.On 23 March 2017 REC announced that it has entered into Memorandum of Understanding (MoU) with Damodar Valley Corporation (DVC) for extending financial assistance to the tune of Rs 4650 crore for ongoing and upcoming projects of DVC. On 5 April 2017 REC announced that its wholly owned subsidiary REC Transmission Projects Company Limited has handed over project specific Special Purpose Vehicles (SPV) namely NER-II Transmission Limited to M/s Sterlite Grid 4 Limited on 31 March 2017.On 15 May 2017 REC announced that the company has entered into Memorandums of Understanding (MoUs) with Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO) and Tamil Nadu Transmission Corporation Limited (TANTRANSCO) for extending financial assistance to the tune of Rs 85723 crore i.e. financial assistance upto Rs 60063 crore to TANGEDCO and upto Rs 25660 crore to TANTRANSCO. The MoUs are non-binding in nature and the financial assistance is subject to appraisal of the proposal(s) to be submitted by the respective entities to REC and approval of Competent Authority.On 30 May 2017 REC reported its highest ever annual net profit of Rs 6246 crore for the financial year 2016-17.On 30 June 2017 REC's Green Bond was listed on the London Stock Exchange. REC launched its maiden USD Green Bonds to become the first Indian PSU corporate to launch Green Bonds denominated in US Dollars against the backdrop of green energy's enormous potential in the Indian power sector and the Indian Government's thrust on developing this space. On 24 August 2017 REC signed a Memorandum of Understanding (MoU) extending a term loan worth Rs 13000 crore to Maharashtra State Power Generation Company Limited ( Mahagenco) for generation projects FGD systems STP working capital and special loan requirements.REC and Patratu Vidyut Utpadan Nigam Limited (PVUNL) signed a loan agreement on 14 November 2017 for establishing 3x800 MW Patratu Super Thermal Power Project Phase-I in Jharkhand. The project cost of Rs 18668 crore is funded in debt: equity ratio of 75:25 and Rs 14000 crore (entire debt component of project) is sanctioned by REC as sole lender for the project. With a view to have better operational efficiency and to reap the benefits of higher capital base pooled resources and to create one big consultancy firm the Board of Directors of REC at its meeting held on 6 February 2018 approved the Scheme of Amalgamation of both wholly owned subsidiaries of the company viz. REC Transmission Projects Company Limited (Transferor Company) and REC Power Distribution Company Limited (Transferee Company).REC concluded a USD 400 million Reg S bonds deal in London on 11 December 2007 for refinancing the existing ECB. The bond was priced at 115 basis points over three years US Treasury. On 12 January 2018 REC announced that it has signed a loan agreement of Rs 10453 crore with TANGEDCO for setting up of TANGEDCO's Udangudi Stage-I 2x660 MW Coal based Supercritical Thermal Power Project in Tuticorin District of Tamil Nadu. The loan assistance from REC will not only improve the power infrastructure of the state utilities but will also improve their financial and operational performance. On 16 January 2018 REC Transmission Projects Company Limited (RECTPCL) a wholly owned subsidiary of Rural Electrification Corporation Ltd (REC) handed over project specific Special Purpose Vehicle (SPV) namely ERSS XXI Transmission Limited to M/s Power Grid Corporation of India Limited (PGCIL) on 12 January 2017On 15 March 2018 REC announced that it has successfully priced 10-year USD Reg-S Bond at a coupon of 4.625% and raised USD 300 million. The issuance received an excellent response with order book of more than USD 900 million. The net proceeds will be used for power sector development.