New Delhi: Kick-starting the disinvestment process of the current fiscal, the government will tomorrow sell 11.36 per cent in power major NHPC at Rs 21.75 a share that is likely to fetch the exchequer over Rs 2,700 crore.
The issue price of Rs 21.75 is at a discount of 5.64 per cent to today's closing price of Rs 23.05 on BSE. "The NHPC OFS will happen tomorrow at a floor price of Rs 21.75 a share," a government official said.
The government holds 85.96 per cent in NHPC and selling over 125 crore shares or 11.36 per cent would help it comply with minimum public shareholding norms.
As the newly renamed Department of Investment and Public Asset Management (DIPAM) races to meet the budgeted disinvestment target of Rs 56,500 crore, NHPC would be the first PSU stake sale on the block.
The government has already lined up over a dozen PSUs for stake sale in the current fiscal.
NHPC would be the third PSU to be sold under the new offer for sale rules notified by market regulator, Sebi. While institutional investors would bid in the first day of the OFS, the retail investors would get to bid on the second day.
NHPC, under the administrative control of power ministry, is engaged in generating power through conventional and non-conventional sources and is dedicated to the planning, development and implementation of an integrated and efficient network of power projects in India.
Firstpost is now on WhatsApp. For the latest analysis, commentary and news updates, sign up for our WhatsApp services. Just go to Firstpost.com/Whatsapp and hit the Subscribe button.
Updated Date: Apr 26, 2016 17:51:09 IST