NHPC Shares In Focus As Board Approves Rs 6,300-Crore Borrowing Plan For FY26

The state-owned hydropower enterprise NHPC Limited acquired Board of Directors endorsement to attract up to ₹6,300 crore debt financing throughout fiscal year 2025-26.

The organization made this strategic move to back its current operations along with future projects that will drive ongoing growth in renewable energy initiatives.

Details Of The Borrowing Plan

The approved borrowing plan includes several financial tools and borrowing procedures to obtain enough funds.

• The corporate bonds issued by NHPC will be taxable secured or unsecured corporate bonds that are non-cumulative and non-convertible and have redeemability. A set of bonds under private placement will be available across multiple tranches or series through one or more financing options.
• The company plans to obtain funding by combining funds from both term loans and external commercial borrowing, which it will implement through specific tranches. Through this method, NHPC can access both domestic and international financial venues, which maximizes its capital arrangements and enables it to benefit from low-interest debt.

The company utilizes diverse financing methods to fulfill capital expenditure needs which include developing new hydropower projects and maintaining its current infrastructure.

Market Reaction

The share value of NHPC showed positive movement after the news disclosure. On March 20, 2025, the BSE market welcomed NHPC stock at a starting price of ₹81.62, which indicated more than 1% growth from the closing value of ₹80.19.

The stock made new heights during the day when it reached ₹81.69 while showing approximately 2% growth. 

The market responses through higher stock value show investors trust NHPC to lead effective strategic financial initiatives and renewable energy development.

Company Performance And Future Outlook

Although NHPC experienced declining profits, amounting to 47% in the prior quarter, through professional management strategies such as the new borrowing plan, which showcases its dedication to long-term expansion,

The obtained funds will serve to finance the following activities:-

• The company uses fundraising to build new hydropower projects which boost generation output and help India achieve renewable energy goals.
• The company works to enhance the maintenance and upgrading of existing facilities for better operational reliability and efficiency.
• Strategic Partnerships will enable the company to join forces with other organizations for portfolio expansion as well as technology advancement.

These strategic initiatives help NHPC fulfil its corporate commitment to dominate the Indian hydropower market through substantial contributions to national sustainable development and energy stability.