Indian Railway Finance Corporation Limited (IRFC), a public sector undertaking under the Ministry of Railways, has emerged as the lowest (L1) bidder for extending a Rs. 5,000 crore Rupee Term Loan (RTL) to NTPC Limited, India’s leading integrated power utility.
Also Read: POWERGRID Commissions 85 MW Solar Plant in Ujjain; Launches AI-Enabled UNMS Control Center
The proposed loan will be directed towards supporting NTPC’s capital expenditure needs, including new capacity additions, project acquisitions, renewable energy initiatives, and the renovation and modernisation of existing assets. Additionally, the funds may be utilised for refinancing existing loans.
IRFC submitted its bid on April 18, and NTPC, through its communication dated April 24, has confirmed acceptance of IRFC’s offer. However, the proposal is still subject to further due diligence, approval by IRFC’s Board of Directors, and finalisation of terms with NTPC.
As the dedicated financial arm of Indian Railways, IRFC’s participation in this transaction marks another step towards diversifying its financial portfolio. This initiative also aligns with NTPC’s broader agenda of green energy expansion and infrastructure growth. Notably, IRFC had previously signed a similar Rs. 5,000 crore RTL agreement with NTPC Renewable Energy Limited (NTPC REL), reinforcing its role in financing India’s energy transition.
Also Read: IFS Shiv Pal Singh’s Tenure as CVO of BHEL Extended Until 2026 – Know About Him
