Tata Power on Wednesday said it has raised USD 335 million (about Rs 1,619 crore) through issue of securities in the international markets, which would be utilised for funding its ongoing projects.
The company would issue 1,48,38,110 Global Depository Receipts (GDRs) at a price of USD 22.58 each, aggregating to USD 335 million, Tata Power said in a filing to the Bombay Stock Exchange.
The company intends to use the net proceeds to fund capital expenditures of its existing power plants, project under implementation and other project plans of the company, the filing said.
On Tuesday, the board of Tata Steel had approved the launching of a GDR issue of USD 250 million, with an option to retain higher amount.
“The GDR offering has attracted quality investors which have enabled the company to increase the offering size from USD 250 million to USD 335 million,” Tata Power Executive Director Finance S Ramakrishnan said.
Each GDR would represent one ordinary share of Tata Power and would be listed on the Luxembourg Stock Exchange.
“The equity raising exercise marks a significant milestone in the company’s capital raising journey and will help in capitalising the balance sheet and enable deployment in our expansion projects,” Tata Power MD Prasad R Menon said.