NHPC OFS: Government To Sell Up To 3.5% Stake, Floor Price Set At Rs 66

The government has announced a 3.5% stake sale in power producer NHPC Ltd. through an offer for sale.

The floor price has been set at Rs 66 per share, indicating a discount of 9.6% to the current market price.

The offer will be open for subscription for institutional investors on Jan. 18 and for retail investors on Jan. 19, according to an exchange filing on Wednesday.

Considering the floor price, the government expects to mop up Rs 2,320 crore through the OFS.

The government will sell up to 2.5% stake, or 25 lakh shares, under its base offer and will retain the greenshoe option of an additional 1%, or 10 lakh shares. It holds 70.95% shareholding in the hydroelectric power producer, as of the quarter ended December.

Shares of NHPC closed 0.9% higher at Rs 73.06 apiece, ahead of the announcement on Wednesday, as compared with a 2.23% decline in the benchmark BSE Sensex.