NHPC Limited (NHPC), a Mini Ratna Category-I Company, engaged in hydroelectric power generation in the country, plans to launch its public issue of tax free, secured, redeemable, non convertible bonds in the nature of debentures having tax benefits u/s 10(15)(iv)(h) of the Income Tax Act, 1961, as amended (Bonds) for an amount of aggregating up to Rs. 500 crore with an option to retain oversubscription up to Rs. 500 crore for issuances of additional Bonds aggregating to a total of up to Rs. 1,000 crore. The issue opens for subscription on October 18, 2013 and is scheduled to close on November 11, 2013, with an option for early closure or extension, as may be decided by the Board of Directors or the Functional Authority. In the event of such early closure or extension of the subscription list of the Issue, the Company shall ensure that public notice of such early closure/extension is published on or before such early date of closure or the Issue Closing Date, as applicable, through advertisement(s) in atleast one leading national daily newspaper. A. K. Capital Services Ltd. and Axis Capital Ltd. are the Lead Managers to the issue.

The Bonds are rated "ICRA AAA" by ICRA; "IND AAA" by IRRPL and "CARE AAA" by CARE. Instruments with this rating are considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry lowest credit risk. The Bonds offered are proposed to be listed on the NSE and BSE.

The bonds offer coupon rates of 8.43% p.a. for 10 Years, 8.79% for 15 Years and 8.92% for 20 Years to Category- IV Investors i.e. Retail Individual Investors and coupon rates of 8.18% p.a. for 10 Years, 8.54% for 15 Years and 8.67% for 20 Years to Category- I, II and III Investors i.e. Qualified Institutions Buyers, Corporate and High Net Worth Individuals, respectively.

Disclaimer: The Investors are advised to take any decision to invest in the Bond pursuant to their examination of the Issuer and on the basis of the disclosures made in the Prospectus dated October 10, 2013 ("Prospectus" or "Offer Document). Please see the section entitled "Risk Factor" beginning on page 14 of the Prospectus for risks in this regard.

DISCLAIMER CLAUSE OF THE NSE: It is to be distinctly understood that the permission given by National Stock Exchange of India Limited ("NSE") to use their network and Online Platform for facilitating applications for public issue of debt securities shall not in any way be deemed or construed as compliance with statutory and other requirements by, NHPC Limited, LMs, etc. is cleared or approved by NSE; nor does it in any manner warrant, certify or endorse the correctness or completeness of any of the compliance with the statutory and other requirements nor does it take any responsibility for the financial or other soundness of this Issuer, its promoters, its management or any scheme or project of this Issuer.

It is to be distinctly understood that the permission given by NSE should not in any way be deemed or construed that the Offer Document has been cleared or approved by NSE nor does it certify the correctness or completeness of any of the contents of the Offer Document. The investors are advised to refer to the Offer Document for the full text of the 'Disclaimer Clause of NSE'.

DISCLAIMER CLAUSE OF THE BSE: It is to be distinctly understood that the permission given by BSE Limited should not in any way be deemed or construed that the Prospectus has been cleared or approved by BSE Limited nor does it certify the correctness or completeness of any of the contents of the Prospectus. The investors are advised to refer to the Prospectus for the full text of the Disclaimer clause of BSE Limited.

Note: The capitalised terms not defined herein the same meaning as assigned to such terms in the Prospectus

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Faridabad

17.10.2013

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