NTPC Sets Sights on ₹12,000 Crore Capital Raise via NCD Issue

In a move that could reshape its financing mix, the board of state‑run power behemoth NTPC gave the nod on Friday, July 24, to raise as much as ₹12,000 crore by issuing non‑convertible debentures (NCDs) in the domestic market.

The plan is flexible – the company may issue the amount in one go or break it into several tranches, each through private placement. Details such as the exact tenor, coupon rate, whether the bonds will be listed on the BSE or NSE, and any security backing will be nailed down when each tranche is launched.

According to the regulatory filing, the issuance window opens the moment the special resolution is passed and stays open for up to a year, or until the next Annual General Meeting scheduled for the 2027‑28 financial year, whichever comes first.

NTPC’s operational numbers add context to the fundraising push. By June 30, 2026, the group’s installed capacity had climbed to 90,904 MW, up from 82,646 MW a year earlier – a rise of almost 8,300 MW, including a 1,796 MW addition in the first quarter of the current fiscal.

Commercial power generation also ticked higher, reaching 93.63 billion units (BU) in the April‑June quarter versus 91.06 BU in the same period last year. Coal‑based plants recorded a plant load factor of 76.71%, up from 75.16% a year ago, while the all‑India PLF for coal stood at 70.32% in the quarter. The average tariff slipped marginally to ₹4.86 per unit from ₹4.87 a year ago.

Industry observers see the NCD issue as a pragmatic way for NTPC to tap the deep‑liquidity Indian debt market without diluting equity, while still raising the capital needed for its aggressive capacity‑addition agenda.