NTPC signs Rs 3,000 crore loan agreements with HDFC Bank and Syndicate Bank

NEW DELHI: State-run NTPC, the country’s biggest power generator, has signed term loan agreements worth Rs 3,000 crore with two banks to part finance its capital expenditure.

In a statement issued on Tuesday, NTPC said it has signed a term loan agreement for Rs 2,000 crore with HDFC Bank and a similar agreement for Rs 1,000 crore with Syndicate Bank.

The loans have a “door-to-door” tenure of 15 years, NTPC said. Door-to-door tenure implies the total period, including moratorium, within which the amount borrowed has to be repaid.

NTPC expects capital spending of Rs 22,400 crore in the year to March 2014. It had spent Rs 21,705 crore on capital expenditure last fiscal.

The company, which is generating 43,128 MW of electricity at present, has formulated a long-term corporate plan to become a 128,000 MW company by 2032. It already has about 22,414 MW under implementation in line with the plan, according to information posted on its website.