Betting big on the renewable energy, India’s largest thermal power generation company, NTPC Ltd will invest Rs 2000 crore raised as Green Masala Bonds for generating 10,000 mw of solar power by 2022. This is to support India’s mega renewable energy plans to add 1,75,000 mw by 2022.
The company celebrated its recent Green Masala Bonds listing by opening trading at the London Stock Exchange (LSE) on Friday.
Masala Bonds are rupee-denominated Bonds issued to overseas buyers, with their green versions aimed at renewable energy projects in India. The company had raised $300 million (Rs 2,000 crores) with a 7.48 per cent annual yield with the new bond listing earlier this month.
Kulamani Biswal, director finance of NTPC opined that they are delighted to be opening trading on the LSE to celebrate NTPC’s milestone bond listing. NTPC’s Green Masala Bonds offering with third party assurance and Climate Bonds Initiative certification, reflects their commitment to renewable energy in the times ahead.
He further added that they are keen to tap a new and international investor base for their renewable energy programme and access offshore financing without the associated exchange risks, which they can achieve through this issuance on the LSE.
Nikhil Rathi, chief executive officer, LSE Plc expressed that NTPC’s landmark independently certified Green Masala Bonds listing, the first Masala Bond by an Indian quasi-sovereign issuer, represents another historic event for Indian finance.
As many as 30 offshore Indian rupee bonds have listed in total on the LSE, raising equivalent to approximately $3.5 billion , according to one of the world’s leading stock exchanges.
By Baishakhi Dutta
