NTPC raises $500m from int\\\'l bond markets

NEW DELHI, Nov 20 (Business Standard): NTPC, the largest power generating company in India, has raised 500 million dollars from the international bond markets on Wednesday.
NTPC is the first Indian company to tap the foreign currency bond market after the government clarified recently that provisions of the new Companies Act - regarding prospectus and allotment of securities - do not apply to issue of foreign currency bonds by Indian companies.
The offering was met with very strong demand and the transaction was oversubscribed within an hour of announcement.
According to NTPC, the final order book was over US$ 2.3 billion, an oversubscription in excess of 4.6 times, with orders from 160 accounts.  
"It is an affirmation of our leadership position in the Indian power sector by the international investors and renewed interest in India," said Arup Roy Choudhury, CMD, NTPC.
In terms of geographical distribution, Asia took the bulk of the transaction at 68 per cent, with supplemental demand from Europe and offshore US accounts at 18 per cent and 14 per cent respectively.