Advertisement

HindustanTimes Sun,20 Apr 2014

NTPC floor price set at 4.8% discount

PTI   New Delhi, February 06, 2013
First Published: 22:09 IST(6/2/2013) | Last Updated: 22:10 IST(6/2/2013)

Government has fixed the base price at Rs. 145 per share for 9.5% stake sale in NTPC, a discount of 4.79%, to garner over Rs. 11,300 crore for the exchequer.
The government proposes to sell 78.32 crore shares or 9.5% stake in the country’s largest power producer through offer for sale (OFS) route. The auction would take place on Thursday.

Advertisement

Shares of NTPC on Wednesday closed at Rs. 152.30, down 2.12% from its previous close on the Bombay Stock Exchange (BSE).

The NTPC disinvestment, which would be the biggest so far this fiscal, would help the government garner over Rs. 11,300 crore at the floor price.

In a filing to BSE, NTPC said “the floor price for the sale in terms of the SEBI OFS circular shall be R145 per equity share of NTPC (the Floor Price)”.

The empowered group of ministers (EGoM), headed by finance minister P Chidambaram, had on Tuesday decided on the floor price and date of the share sale. The pricing was, however, revealed only after close of market hours on Wednesday.

The government holds 84.50% stake in NTPC. Post stake sale, its holding will come down to 75%.

Citigroup, Morgan Stanley, Goldman Sachs, Deutsche Equities, Kotak Securities and SBI Cap Securities are acting as the merchant bankers for the stake sale.

Disinvestment secretary Ravi Mathur had on Tuesday said the government would be able to raise around R12,000 crore from the NTPC stake sale.

Advertisement
more from Business

700 trainees opt for exit plan at Nokia’s Chennai plant

Finnish handset maker Nokia, struggling to shepherd its Chennai plant into its agreement to be bought by US software giant Microsoft amid tax disputes in India, has got some success with 736 of its trainees accepting the voluntary separation scheme.
markets
Advertisement
Most Popular
Advertisement
Copyright © 2014 HT Media Limited. All Rights Reserved