Interest will be paid annually. The first coupon payment is scheduled for March 9, 2027, with subsequent coupon payments to be made every year until redemption of the respective series. The principal will be redeemed at face value on maturity dates for each series. The debentures are proposed to be listed on the Wholesale Debt Market segment of the National Stock Exchange of India Ltd.
Also Read: Torrent Power Q3: Net profit jumps 35%, margins widen; ₹15 dividend declaredThe NCDs will be secured by a first pari passu charge on the company’s present and future movable assets, including current assets, except movable assets of renewable projects, funds in debt service reserve accounts or similar accounts created for lenders, and investments made for NCD reserve or similar reserves under financing agreements.
The security will be shared on a pari passu basis with the company’s term lenders, working capital lenders and other secured debenture holders. A second charge over the security will be available to entities providing hedging contracts.The company said the coupon rate will increase by 0.25% for every notch of rating downgrade after issuance. If the rating is later upgraded, the coupon rate will be reduced by 0.25% per notch, subject to a cap at the original coupon rate.
Also Read: Torrent Power Q2 Results: Profit up 50% on strong merchant sales, lower finance cost
If the credit rating falls to “BBB+” or below, debenture holders representing at least 51% of the outstanding value may call for accelerated redemption. In such a case, the company will redeem the debentures within 60 days of the notice.
In the event of a delay in payment of interest or principal beyond the due date, the company will pay additional interest at 2% per annum over the coupon rate for the defaulting period.
Shares of Torrent Power Ltd ended at ₹1,427.00, down by ₹53.55, or 3.62%, on the BSE.
