Torrent Power Seeks $500 Million in New Bond Issuance

Torrent Power is preparing to launch a significant bond sale, seeking to raise between $473.44 million and $526.04 million through rupee-denominated bonds. This initiative represents the company's second bond issuance within the current financial year, with maturities ranging from 3 to 10 years.

The company has commenced discussions with potential investors and anticipates finalizing the issuance before the end of October 2026. These bond sales are part of a broader strategy to diversify funding sources, moving away from traditional bank lending.

Proceeds from this bond sale are specifically allocated to finance the acquisition of Nabha Power, a coal-fired plant operator previously owned by Larsen & Toubro. The total acquisition cost, including debt, is approximately 69 billion rupees.

This strategic financial move by Torrent Power aligns with a growing trend observed since 2025, where companies have increasingly relied on bond issuances to fund acquisitions and operational needs.