Power Finance Corporation
| File:Pfc-logo2.jpg | |
| Company type | Public PFC EQ NSE, 532810 BSE[3] |
|---|---|
| Industry | Financial Services |
| Founded | July, 1986 |
| Headquarters | , |
Area served | India |
Key people | Satnam Singh (Chairman & Managing Director) |
| Products | Rupee Term Loan, Foreign Currency Loan, Short Term Loan |
| Revenue |  USD 1.3 bn (Mar'09) |
| USD 450.4 mn (Mar'09) | |
| USD 271 mn (Mar'09) | |
| Total assets | USD 12.89 bn (Mar'09) |
| Total equity | USD 2.07 bn (Mar'09) |
| Owner | Government of India |
Number of employees | 316 |
| Website | pfcindia.com |
Power Finance Corporation Ltd. is an Indian Financial Institution. Established in 1986, it is the financial back bone of Indian Power Sector. Net worth of the company in the year 2007-2008 was 8688 Crore Indian Rupees[1]. Initially wholly owned by the Govt. of India, the company issued an IPO in January, 2007. The issue was oversubscribed by over 76 times, which is the largest for an IPO of any Indian Company in recent times.[4] PFC is listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The company has been conferred with many prestigious awards, the latest of which is "KPMG-Infrastructure Today Award 2008" for its contribution in development of power sector. It is also an ISO 9001:2000 certified company[2] and enjoys the status of Navratna Company in India.
Organization Structure
The Corporation is headed by the Chairman and Managing Director; who at present is Mr. Satnam Singh[3]. The company has three wings, each headed by a Functional Director namely, Institutional Development & Administration(IDA) Division, Projects Division and Finance & Financial Operations division. The IDA Division looks after the credit appraisal and categorization of borrower entities, power sector reforms, review and analysis. The Projects Division controls the operation in various states and project appraisal. Finance & Financial Operations Division looks after the Fund Mobilization and Disbursement. PFC is a lean organization. The number of employees during year 2007-2008 were 309.
Borrowings
The major part of PFC's funds are raised through Rupee denominated bonds. PFC bonds enjoy the highest credit rating in the Indian market and in international markets, they are rated at par with the Indian Sovereign rating. It also borrows short term and long term from various banks and other Financial Institutions. It has also raised External Commercial Borrowings (ECB) through private placement in US market.
Operations
Since its inception, PFC has been providing financial assistance to power projects across India including generation, transmission, distribution and RM&U projects. Recently, it has forayed into financing of other infrastructure projects which have backward linkages to the power sector like coal mine development, fuel transportation, oil & gas pipelines etc. The borrower profile includes State Electricity Boards, State sector power utilities, Central sector power utilities and Private sector companies. PFC is also the nodal agency for the implementation of the ambitious Ultra Mega Power Projects (UMPPs) and the R-APDRP programme[5] of Govt. of India. The company also has the mechanism of rating different state Power Utilities on its performance.
Subsidiary Companies
PFC presently has nine subsidiary companies. PFC Consulting Ltd. (PFCCL) is a wholly owned subsidiary handling fee based services. The six other companies, namely Coastal Karnataka Power Limited, Coastal Tamil Nadu Power Limited, Coastal Maharashtra Power Limited, Orissa Integrated Power Limited, Jharkhand Integrated Power Limited and Akaltara Power Limited, are SPVs (Shell Companies) created for implementing the Ultra Mega Power Projects.
Awards & Recognitions
| No. | Recognition | Year |
|---|---|---|
| 1 | KPMG-Infrastructure Today Award 2008 | December 2008 |
| 2 | India Power Award 2008 | November 2008 |
| 3 | Golden Peacock Award 2007 | September 2007 |
| 4 | Navratna Company | June 2007 |