Around 9:26 a.m., the price of NHPC share price dropped by 4.33%, which is Rs 3.16, and they were valued at Rs 69.9 each on the BSE. At that moment, the total value of the company in the market was approximately Rs 70,214.79 crore.
NHPC, a government-owned power company, saw a decline of more than 4% in its stock on Thursday (January 18) following the government’s proposal to sell a 2.5% stake through an offer for sale (OFS) at a floor price of Rs 66 per share.
The official filing stated, “The floor price of the offer shall be Rs 66.00/- (Rupees sixty-six only) per equity share (“floor price”).”
At approximately 9:26 a.m., NHPC shares experienced a 4.33% drop, equivalent to Rs 3.16, settling at Rs 69.9 each on the BSE. Concurrently, the market capitalization of the company was reported at Rs 70,214.79 crore.
After the stock market closed on Wednesday, NHPC shared with investors that the government plans to sell part of its stake in the company through an Offer for Sale (OFS). The initial offering consists of 25.1 crore shares, representing a 2.5% ownership stake. Additionally, there’s an option to sell an extra 1% or 100,450,348 shares (referred to as the “oversubscription option”).
“The Seller intends to sell 2.5% of the paid-up equity (equivalent to 251,125,870 equity shares) with an option to additionally sell up to 100,450,348 equity shares, i.e., 1.00% of the paid-up equity of the company (“the oversubscription option”),” as mentioned in the filing.
This move is expected to generate between Rs 2,000 to 3,500 crore for the government. The OFS is open for non-retail investors on January 18 and for retail investors on January 19. It’s important to note that the offer cannot be canceled once the bidding period begins.
NHPC share price: Past performance:
In a year, shares of NHPC have gained over 65 percent against the Nifty 50’s rise of over 17 per cent.
About NHPC:
NHPC Limited, a key government hydroelectric power entity in India, plays a crucial role in the nation’s energy scene. Focused on hydroelectric power, NHPC significantly contributes to India’s power sector. With various ongoing projects, the company taps into water resources to generate sustainable electricity.
NHPC is recognized for its dedication to eco-friendly power initiatives, prioritizing clean energy. According to recent details, the government plans to sell a 2.5% stake in NHPC through an Offer for Sale (OFS) to gather funds. This move aligns with NHPC’s role in advancing clean and sustainable power solutions for the country.
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