Reportedly, Tata Power Company Limited is set to raise Rs 20 billion through a bond issuance.
The proposed fundraise will support refinancing of existing debt, investments in renewable energy projects and general corporate purposes. The company plans to issue two tranches of non-convertible bonds, raising Rs 10 billion each with tenures of three and five years. The three-year bonds, maturing in December 2028 are expected to be priced at around 7.05 per cent while the five-year bonds maturing in December 2030 may carry a coupon of about 7.25 per cent. ICICI Bank and Yes Bank are acting as arrangers for the issue, with institutional investors such as mutual funds, insurance companies, and banks expected to participate.