Indian power generation firm Tata Power Co. is planning to raise as much as $1 billion-equivalent for clean energy projects, in what could be the country’s largest local currency loan this year. The unit of Tata Group, one of India’s largest conglomerates, is in talks with lenders including State Bank of India, IndusInd Bank, Axis Bank and ICICI Bank for the loan, people familiar with the matter said, asking not to be identified as the information is private.
The proceeds of the loan will be used to fund the company’s investment of $1.6 billion announced in August to develop some clean energy projects known as pumped hydro storage, the people familiar said.