New Delhi: State-owned Power Grid on Friday said it has sought shareholders' approval for raising Rs 20,000 crore through bonds or debentures on private placement basis in 2019-20 in its annual general meeting on 18 September.
The proposal to raise funds up to Rs 20,000 crore, from domestic market through issue of secured /unsecured, non-convertible, noncumulative/ cumulative, redeemable, taxable/tax-free debentures/bonds under private placement during 2019-20 in up to twenty tranches/offers, is listed on the agenda of annual general meeting on 18 September, as per a BSE filing.
The board in 355th meeting held on 10th July, 2018, approved raising of Rs 20,000 crore in up to twenty tranches, depending upon the requirement of funds in 2019-20 for capital expenditure, providing inter-corporate loans to wholly owned subsidiaries and for general corporate purposes.
An amount of Rs 25,000 crore to Rs 30,000 crore is being considered as expected capital expenditure during 2019-20. In order to have a debt-equity mix of 70:30, an amount of Rs 17,500 crore to Rs 21,000 crore is estimated to be mobilised as debt and balance Rs 7,500 crore to Rs 9,000 crore from internal resources during next fiscal.
The company said that the proposed borrowing for 2019-20 will be within overall borrowing limits of Rs 1,80,000 crore and the board recommended passing of the resolution.
Updated Date: Aug 24, 2018 19:10 PM