Power Grid board to consider ₹35K cr FY28 borrowing plan
The Maharatna PSU will also raise its FY27 borrowing limit by ₹5,000 cr to ₹35,000 cr. Both proposals need shareholder approval.
— 2 earlier stories on Power Grid Corporation Of India Ltd. →What's new
- Board meeting on July 22 to consider raising FY27 borrowing limit to ₹35,000 cr.
- Also to approve a ₹35,000 cr borrowing plan for FY28 via domestic bonds.
- Both proposals require shareholder nod at the upcoming AGM.
Why this matters
With a debt/equity of 1.41, adding up to ₹35,000 cr in fresh borrowing authority signals a large capex or refinancing need. The scale equals over 13% of market cap, a material signal for credit profile and equity valuation.
What we're watching
- End-use details in the board note or AGM agenda.
- Rating agency response to higher debt plans.
- Actual drawdown pace vs. approved limits.
The full read
Power Grid's board will meet on July 22 to consider two borrowing proposals: a ₹5,000 cr increase in the FY27 limit to ₹35,000 cr and a fresh ₹35,000 cr plan for FY28 via private placement bonds. That size equals over 13% of the company's ₹2.64 lakh cr market cap. Material. With debt/equity already at 1.41, this level of new borrowing suggests either a large capex push or refinancing of maturing debt. No end-use details have been disclosed. Shareholders will vote at the AGM. The money's purpose remains undisclosed for now.
Questions answered
- What is the board considering on July 22?
- The board will consider raising the FY27 borrowing limit by ₹5,000 cr to ₹35,000 cr and approving a fresh ₹35,000 cr borrowing plan for FY28 via domestic bonds.
- How much is the total debt being proposed?
- The proposals include a ₹5,000 cr enhancement for FY27 and a new ₹35,000 cr plan for FY28. They are separate approvals and should not be combined.
- Does the plan need shareholder approval?
- Yes, both proposals require approval from shareholders at the upcoming annual general meeting.
- How does this compare to Power Grid's market cap?
- The ₹35,000 cr FY28 plan alone represents over 13% of Power Grid's market capitalisation of about ₹2.64 lakh cr.
Power Grid Corporation Of India Ltd.
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All notes on POWERGRID →- 16 Jul 2026 · 10:30 PM IST Power Grid board to consider ₹35K cr FY28 borrowing plan
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