NTPC gets shareholders’ nod to raise up to Rs 18,000 cr via bonds
29 Sep 2021
New Delhi: State-owned said it has got shareholders’ approval to raise up to Rs 18,000 crore through the issuance of bonds or debentures. All resolutions listed in its annual general meeting (AGM) held on September 28 were passed with requisite majority, it said in a BSE filing.
NTPC had proposed to raise up to Rs 18,000 crore through the issue of bonds/debentures on a private placement basis.
In addition to capital expenditure (capex) requirement, the company also needs to borrow for meeting its working capital needs and other general corporate purposes, which are partly proposed to be met through the issuance of non-convertible bonds, the company had said in the AGM notice.
It had 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 to take care of forays into new business verticals and any unanticipated investment requirements, a need is felt to enhance the existing borrowing limits, the company had said.
Besides, it 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, or until further orders.
His appointment was approved by shareholders in the 40th AGM held on September 20, 2016.
The Ministry of Power had extended Singh’s tenure from February 4, 2021, till July 31, 2025 — the date of his superannuation.
The Board of Directors in its meeting held on November 2, 2020 had approved the tenure extension.