IPO only after market improves: NHPC

New Delhi: NHPC had earlier proposed to come out with a public issue in October last year for part-financing its expansion programmes, which it was forced to shelve subsequently due to volatile market conditions.

It plans to come out with its initial public offering only when market conditions improve.

NHPC is alternatively looking at domestic banks for raising money. “Though we are comfortable right now, we are in talks with domestic bankers (both public and private) for raising capital,” Mr Garg said.

The company has already tied-up debt of about Rs 4,000 crore with state-run Power Finance Corporation and nearly Rs 6,500 crore with Life Insurance Corporation for funding its power projects during the current plan period (2007-12).

On the impact of the global financial meltdown on the hydro-power major’s expansion projects, Mr Garg said, “Our capex has not been affected by the slowdown.”

NHPC hopes to double its installed capacity by 2012 and has planned a capital expenditure of Rs 28,000 crore for the Eleventh Plan.

According to sources, the company plans to commission one of the Teesta hydro-electric projects of 132 MW by December this year and also 120 MW Sewa-II project in Jammu & Kashmir.