NTPC says no need for stake sale

NTPC says no need for stake sale

Even as the government has initiated a move to sell 9.50 per cent stake in the NTPC to meet its disinvestment target of Rs 30,000 crore in the current fiscal, the state-run power generation major does not see any requirement of it.

“We do not need to divest any stake for raising funds. We have tied up adequate funds at cheap rates,’’ NTPC Chairman & Managing Director Arup Roy Choudhury said.

Sharing the performance highlights of fiscal 2011-12, he said the company plans to raise $750 million via bonds issue and syndicated loans from overseas markets.
He expressed confidence that the company would be able to raise the amount in the current fiscal. “We are awaiting some clarification from the finance ministry on withholding tax,” he added.

On whether NTPC plans to issue fresh equity, he said the company did not need money for capacity expansion as funds have already been tied up.

The company has plans to add 14,038 MW capacity during the 12th Five Year Plan. Of this, 2160 MW capacity has been added so far.