Fitch rates NTPC notes BBB-

Fitch Ratings said it assigned an expected BBB-(exp) rating to NTPC Ltd.'s proposed medium-term notes. The company has a BBB issuer default rating with a negative outlook.

The agency said NTPC's ratings reflect its position as India's largest independent power generator, its robust business model with low off-take risks due to a power deficit in the country and long-term power purchase agreements with state power utilities and its financial flexibility due to strong cash flows, a large cash balance and ability to access capital markets.

NTPC's ratings are currently constrained by that of India (BBB-/negative) given the 84.5% government ownership, Fitch said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.