NTPC Seeks Shareholders' Nod To Raise Rs 18,000 Crore Via Bonds

State-owned NTPC will seek shareholders' approval to raise Rs 18,000 crore through the issuance of bonds or debentures in its annual general meeting on September 28.

NTPC has proposed to raise funds up to Rs 18,000 crore through the issue of bonds/debentures on a private placement basis, said a notice for the AGM.

In addition to capital expenditure requirement, the company also needs to borrow for meeting its working capital requirement and other general corporate purposes, which is partly proposed to be met through the issuance of non-convertible bonds, it added.

It has also sought shareholders' approval to increase the borrowing powers of the company from Rs 2,00,000 crore to Rs 2,25,000 crore.

Keeping in view the future Capex requirements and funds to be tied up for the same and to take care of forays into new business vertical and any unanticipated investment requirements in future, a need is felt to enhance the existing borrowing limits, the company said.

It also sought shareholders' approval to re-appoint Gurdeep Singh as Chairman and Managing Director of the company till July 31, 2025.

Singh was appointed as CMD on January 28, 2016, for five years from the date of assumption of charge of the post, or until further orders.

The appointment of Singh as Chairman and Managing Director was approved by the shareholders in the 40th Annual General Meeting held on September 20, 2016.

The Ministry of Power had extended the tenure of Singh from February 4, 2021, till July 31, 2025, i.e. the date of his superannuation, or until further order, whichever is earlier.

The Board of Directors in its meeting held on November 2, 2020, had accorded approval for the tenure extension of Singh till July 31, 2025, i.e. the date of his superannuation or until further order, whichever is earlier.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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