NTPC Green Energy's issue price expected to be above Rs 100!
NTPC's green energy subsidiary NTPC Green Energy Limited may raise money from the market in the IPO with the aim of achieving a valuation of $12 billion for the company. In this sense, NTPC Green Energy Limited's IPO may be the country's largest IPO in the renewable energy sector.
According to a Bloomberg report, NTPC Green Energy is in discussions with IPO advisors to keep the issue price of its IPO above Rs 100 per share ($1.18). NTPC Green Energy is preparing to raise Rs 10,000 crore from the market through the IPO. The company's IPO is expected to be open from october 18 to 21. The company has not yet decided the price band and discussions are ongoing. The floor price, cap price and issue price of the shares with data-face value of Rs 10 per share will be decided after consultation with BRLM.
In october, stock market regulator SEBI approved the IPO (Initial Public Offering) of NTPC Green Energy. The company had filed draft papers with SEBI to bring IPO in september 2024. NTPC Green Energy Limited is a subsidiary of the country's largest power generation company NTPC. NTPC Green Energy's IPO will be a completely fresh issue, that is, the company will issue new shares and the promoter company will not sell its stake in the IPO.
Out of the Rs 10,000 crore that NTPC Green Energy will raise in the IPO, Rs 7500 crore will go to pay off the loan. The company will spend the remaining amount on general corporate purpose and expansion. Some shares in the IPO of NTPC Green Energy will be reserved for employees. Employees will also be given a discount in the IPO price. Shares will also be reserved for NTPC shareholders. NTPC Green Energy shares will be listed on NSE and BSE.