Gandhinagar: NTPC Limited, India’s largest power generator and a Maharatna PSU, has signed a landmark agreement to raise $750 million through an unsecured External Commercial Borrowing (ECB) Syndicated Term Loan.
The facility comprises a base issuance of $500 million and a greenshoe option of $250 million, with a door-to-door tenor of 10 years and an average maturity of 7 years.
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Bank of Baroda acted as the Mandated Lead Arranger and Underwriter for the base issue, while HDFC Bank took the role of Mandated Lead Arranger and Bookrunner for the greenshoe portion.
The transaction was executed via the IFSC Banking Units (IBUs) of both banks at GIFT City, Gandhinagar, reinforcing the financial center’s growing prominence as a global offshore banking hub.
NTPC Limited Fund Utilization
NTPC Limited will utilize the funds to support capital expenditure initiatives, including capacity expansion projects, flue gas desulphurisation systems, renewable energy developments – including hydroelectric projects – and refinancing of existing ECBs in line with the Reserve Bank of India’s ECB guidelines.
Commenting on the development, Jaikumar Srinivasan, Director (Finance), NTPC Limited, stated, “We are on a transformative path to scale our renewable energy capacity to 60 GW by 2032 and expand our total installed capacity beyond 130 GW. This funding supports our mission of building a resilient, sustainable energy portfolio.”
Bank of Baroda’s Executive Director Lalit Tyagi added, “This deal highlights our leadership in global infrastructure financing and the pivotal role of our IBU at GIFT City in cross-border financial transactions.”
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HDFC Bank’s Ashutosh Kumar, Senior Vice President & Regional Head – PSU, Corporate Banking, noted that the transaction signifies GIFT City’s growing relevance as a global financial center and demonstrates strong public-private financial collaboration.
Bank of Baroda’s IBU at GIFT City, operational since 2017, is now the third-largest overseas branch within its international operations, with a business volume exceeding $10 billion as of March 2025. The successful closure of this transaction reinforces both NTPC’s growth strategy and the strengthening role of Indian financial institutions in global energy financing.
