Power Grid seeks shareholders' nod to raise Rs 200 bn through bonds in FY20

State-owned Power Grid on Friday said it has sought shareholders' approval for raising Rs 200 billion through bonds or debentures on private placement basis in 2019-20 in its annual general meeting on September 18.

The proposal to raise funds up to Rs 200 billion, 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 September 18, according to a BSE filing.

The board in the 355th meeting held on 10th July, 2018, approved raising of Rs 200 billion 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.

The company said that the proposed borrowing for 2019-20 will be within overall borrowing limits of Rs 1.8 trillion and the board recommended passing of the resolution.