On Wednesday, the government-owned power giant NTPC said it launched a medium-term notes (MTN or bond) issue On Tuesday to raise $450 million (approx Rs 3,105 crore), which is a part of its $6 billion (approx Rs 41,400 crore) MTN programme.

MTNs are also known as bonds in the overseas markets. The issue closes on 3 April.

"NTPC Ltd has launched and priced an issue of 3.75 percent USD 450,000,000 notes due 2024 on March 26, 2019," NTPC said in a statement.

According to the statement, the notes carry a coupon (rate) of 3.75 percent per annum payable semi-annually and expected to be settled by 3 April 2019. These notes will mature on 3 April 2024 and all principal and interest payments will be made in US dollars.

The notes will be listed on the Singapore Exchange Securities Trading Ltd, India International Exchange (IFSC) Ltd and NSE IFSC Ltd.

The company said the net proceeds from the issue of notes will be used to finance capital expenditure of ongoing and/or new power projects, coal mining projects, acquisition of power projects and renovation and modernization of power stations of NTPC, all within India and in accordance with the applicable guidelines of Reserve Bank of India (RBI) in relation to external commercial borrowings.