India's NTPC lowers indicative bond yield-source
HONG KONG, Feb 22 (Reuters) India's largest power producer, National Power Thermal Corp. (NTPC), has tightened the indicative yield range for its 0 million, 10-year bond on the back of solid demand, a market source said on Wednesday.
The yield guidance was revised to 140 to 145 basis points above 10-year U.S. Treasuries from an initial range of 145 to 155 basis points over, the source said.
Pricing is expected on Thursday.
Another market source said earlier in the day that the offer, rated BB-plus by Standard&Poor's, had so far attracted 0 million of orders.
Barclays Capital and Deutsche Bank are joint bookrunners for the proposed issue, the first dollar bond offer from India in 2006.
S&P said proceeds from the sale would be used to fund NTPC's ongoing and future capital expansion plans in the power sector. The debt offer is part of NTPC's newly set up billion medium term note programme.
A source has said the offer would be the first international bond issue from India with at least a 10-year maturity since Tata Electric sold a 20-year bond in 1997.
NTPC last tapped the offshore bond market in March 2004, when it sold 0 million in seven-year bonds.
Last year, Indian borrowers raised about 0 million worth of dollar bonds.
REUTERS SD PM1518