Government to sell 9.5% equity in NTPC; may net Rs13,000 crore

22 Nov 2012

The government today approved the sale of 9.5 per cent equity in state-run National Thermal Power Corporation (NTPC), to raise an estimated Rs13,000 crore.

At the current market price, the stake sale is likely to fetch Rs13,000 crore for the exchequer. Shares of NTPC closed at Rs163.70, up 1.05 per cent on the BSE today.

The Cabinet Committee on Economic Affairs (CCEA) today approved divestment of 9.5 per cent equity of NTPC Ltd, out of its holding of 84.5 per cent, an official release said today.

The offer for sale would be made through stock exchanges as per SEBI rules and regulations, the release added.

Post divestment, Government of India's shareholding in the company would come down to 75 per cent.

NTPC had a paid-up equity capital of Rs8,245.46 crore as of 31 March 2012.