PFC's Record Bond Issue: A Testament to Power Sector's Growth

Power Finance Corporation launches its third public issue of non-convertible debentures, signaling strong confidence in India's power sector. The company plans to raise Rs 5,000 crore, marking its first zero-coupon public bond offering by a PSU. This initiative underscores the role of PFC as a key financial enabler.

On Thursday, Power Finance Corporation (PFC) announced its third public issuance of secured, non-convertible debentures, drawing enthusiastic investor interest as highlighted by Chairperson and Managing Director Parminder Chopra. This latest offering underscores the power sector's pivotal role in India's economic ascent and PFC's integral financial involvement in this transition.

The new endeavor aims to amass up to Rs 5,000 crore, with an initial issue size of Rs 500 crore and allowance for oversubscriptions up to the full amount. Impressively, previous issues were oversubscribed more than five times. Scheduled to open on January 16 and close on January 30, this marks PFC's first zero-coupon public bond in the current calendar year.

This initiative showcases PFC's commitment and financial robustness, with Chopra highlighting that the corporation has funded nearly half of India's installed power capacity. With a significant loan asset book and substantial profits, PFC continues to exhibit resilience and a long-term strategic vision.

(With inputs from agencies.)