The country's largest power producer, NTPC said on Tuesday that it would sell equity shares at Rs201 each as part of a public offer to divest 5 per cent of the government's stake, while its employees would be able to subscribe at a discount of Rs10.
In January 2010, NTPC said that the sale of five per equity in would commence on 3 February while the price band will be fixed a day earlier. (See: NTPC's follow-on public offer to open on 3 February)
'The empowered group of ministers (EGoM) in its meeting held on 1 February decided the floor price for the further public offer of NTPC Ltd at Rs201 per equity share,' the company said in a statement.
Under the public issue the company a total of 412,273,220 equity shares of Rs10 each would be on offer from Wednesday. The issue that will close on 5 February will have on offer a total of 42,73,220 reserved shares for NTPC employees.
According to the company's statement the EGoM had also decided to offer a Rs10 per share discount to eligible employees submitting bids under the Employee Reservation Portion.
Currently the government's holding in the company's equity amounts to 89.5 per cent.