NTPC Dividend: PSU Seeks Shareholders Nod To Raise Rs 12,000 Cr, Ex-Dividend Date Tomorrow

Maharatna CPSE NTPC Ltd will seek nod of shareholders to raise approximately Rs 12,000 via issuance of Non-Convertible Debentures (NCDs/bonds) on a private placement basis in its annual general meeting (AGM) on August 29, 2024. Current market price of NTPC Ltd shares on BSE is Rs 414.90 per share with gain of 0.41% in trade today. The large cap PSU has a market capitalisation of Rs 4,02,314.68 crore. NTPC shares offered over 8% in last 2-weeks and gave return of 252% in last 3-years. Check key details below:

NTPC Ltd To Raise Up To Rs 12,000 Crore: "The board of directors of the company in its meeting held on 29th June, 2024 has approved the proposal and recommends the passing of the proposed special resolution (for raising up to Rs 12,000 crore in next 12 months)," as per the AGM notice of NTPC.

According to a PTI report, the notice further said that the company is under capacity expansion mode, and a major portion of its capital expenditure requirement has to be funded by debt. The approval of the shareholders is being sought to authorize the board of directors to make offer(s) or invitation(s) to subscribe to the secured/unsecured, redeemable, taxable/tax-free, cumulative/non-cumulative, non-convertible debentures (NCDs/bonds) up to Rs 12,000 crore in one or more tranches, it said.

NTPC Share Performance: The 52-week high price of NTPC share on BSE is Rs 426.35 per share (as on 02/08/2024) and 52-week low price is Rs 211.85 per share (as on 14/08/2023), respectively. NTPC shares gave return of 34% year-to-date, rallied 90% in last 1-year, offered return of 166% in last 2-year, and surged 236% in last 5-years.

NTPC Latest Dividend Recommendation: The BSE filing of NTPC issued as on May 24, 2024 stated, "Further, the Board of Directors have also recommended the final dividend at the rate of 32.50% (Rs 3.25 per share) for the financial year 2023-24, subject to the approval of the Shareholders in the ensuing Annual General Meeting. The aforesaid final dividend is in addition to the first interim dividend at the rate of Rs. 2.25 per share & second interim dividend at the rate of Rs. 2.25 per share of face value of Rs. 10/- each for the financial year 2023-24 paid in November'23 & February'24, respectively."

NTPC Sets Record Date For Dividend: The BSE filing stated, "the company has fixed Wednesday, 7th August, 2024 as Record Date for the purpose of ascertaining the entitlement of Members for the Final Dividend of Rs.3.25/- (Three Rupees twenty five paisa only) per share (on the face value of Rs. 10/- each) on the Equity Shares of the Company for the Financial Year 2023-24 as recommended by the Board of Directors of the Company in their meeting held on 24th May 2024."

NTPC Bonus Share History: The large cap PSU offered 1 bonus issue since March 19, 2019. The last Bonus that NTPC declared was in the ratio 1:5 with ex-date of March 19, 2019. It implied shareholders of NTPC received 1 bonus share for every 5 shares held in 2019.

NTPC Dividend History: NTPC announced 42 dividends since February 25, 2005. In last 1-year, NTPC announced an equity dividend amounting to Rs 7.50 per share. At the current share price of Rs 414.90/share, NTPC offers a dividend yield of 1.81%.

About: Established in 1975, NTPC is steering ahead to be India's largest integrated power company and targets to become a 130 GW firm by 2032. NTPC has comprehensive Rehabilitation & Resettlement and CSR policies well integrated with its core business of setting up power projects and generating electricity. NTPC became a Maharatna company in May 2010. As of January 2020, there are 10 Maharatnas CPSEs in India. NTPC is ranked No. 2 Independent Power Producer(IPP) in Platts Top 250 Global Energy Company rankings.