NTPC’s Bond Issue oversubscribed by 2.8 times in 10 minutes
11
0
NTPC, the largest power utility of the country called for offers to subscribe to its 60th series of Non- Convertible Debentures ( NCDs) for an amount of Rs. 500 crore with a green option of another Rs.500 crore on a private placement basis. The bond issue received tremendous response and the issue was oversubscribed by 2.8 times in 10 minutes flat today.
Bids amounting to Rs. 1400 crore were received from 17 applicants. Finally, 9 arrangers were allocated Rs. 1000 crore based on their offers.
Considering that the above issue has a tenor of 10 years, the pricing of the issue was very competitive at 8.05% per annum translating to approximately 7.89% semi-annual.
The proceeds of the issue will be utilized for capital expenditure of the company.
