New Delhi — NTPC Limited, India’s largest power generation company, has secured shareholder approval to raise up to ₹18,000 crore through the issuance of non-convertible debentures (NCDs) on a private placement basis, the company said in a regulatory filing on Thursday.
The fundraising will be executed in up to 12 tranches over a one-year period beginning from the date the special resolution was passed. The approval follows a postal ballot process that concluded on July 23, 2025, with the resolution receiving the requisite majority of shareholder support.
Read Also: Fueling Recovery: NTPC Khargone Distributes 600 Nutritional Kits to TB Patients Under CSR Initiative
Strategic Fundraising for Capacity Expansion
NTPC is currently in an aggressive capacity expansion mode, aiming to significantly scale up its generation portfolio, particularly in renewables, thermal upgrades, and grid reliability. According to the company, a major portion of its capital expenditure (capex) will need to be financed through debt, making the bond issuance a critical component of its funding strategy.
The company clarified in its postal ballot notice dated June 23, 2025, that the NCDs may be secured or unsecured, redeemable, and taxable or tax-free, and may carry cumulative or non-cumulative interest, depending on prevailing market conditions and investor demand.
Shareholder Voting Timeline
- Board Approval of Draft Notice: June 21, 2025
- Cut-off Date for Voting Eligibility: June 20, 2025
- Remote E-voting Period: June 24 – July 23, 2025
- Postal Ballot Resolution Passed: July 24, 2025
The resolution’s passage empowers NTPC to raise funds flexibly in domestic markets while optimizing interest costs and maintaining leverage discipline.
Financial and Sectoral Implications
The move comes at a time when NTPC is balancing its traditional thermal power base with rapid investments in renewable energy, including solar, wind, green hydrogen, and battery storage projects. The NCD issuance will help the company finance these initiatives without immediate equity dilution.
Experts note that the private placement route is often preferred by large PSUs like NTPC for its efficiency and access to institutional investors. It also reflects investor confidence in NTPC’s stable business model and long-term creditworthiness.
About NTPC
Founded in 1975, NTPC Limited is a Maharatna public sector enterprise under the Ministry of Power. It has an installed power generation capacity of over 75 GW and is a key player in India’s transition toward a cleaner energy mix.
