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India to sell up to 6% stake in NHPC via offer for sale

India to sell up to 6% stake in NHPC via offer for sale

- The Indian government will sell up to a 6% stake in NHPC NHPC.NS via an offer for sale, an exchange filing by the hydropower company showed on Monday.

Here are some details:

  • The OFS consists of a base offer of up to a 3% equity stake in the company, with an option to sell an additional 3%.

  • The floor price has been fixed at 71 rupees per share, implying about an 8% discount to NHPC's last closing price.

  • An OFS allows promoters or large shareholders of listed companies to sell shares through stock exchanges.

  • The stake sale is part of the Indian government's broader divestment and asset monetisation program. It holds a 67.4% stake in NHPC.

  • The government has a divestment and asset monetisation target of 800 billion rupees for fiscal year 2027, according to the Union Budget.

  • In May, the government sold an 8% stake in Central Bank of India and a 2% stake in Coal India via OFS.


(Reporting by Nishit Navin in Bengaluru; Editing by Shilpi Majumdar)

((Nishit.Navin@thomsonreuters.com;))

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