NTPC IPO to open on October 7, 2004
By Our Corporate Bureau | 22 Sep 2004
New
Delhi: National Thermal Power Corporation (NTPC) yesterday
said that its initial public offer (IPO) will open for
subscription on October 7 and close on October 14.
NTPC will offer 866.83 million shares, amounting to 10.5 per cent of the post-issue expanded capital, with a face value of Rs10 each. The shares will be offered at a price band of Rs52 to Rs62
The issue comprises fresh issue of 432.91 million shares and an offer for sale of equivalent number of shares held by the government, which is part of the government''s disinvestment plan. Post-issue, the government holding in the company will come down to 89.5 per cent of the expanded capital of the company.
At the upper level of the price band, the IPO is expected to raise Rs5,369 crore, the second largest public offer after TCS, which received a record Rs5,420 crore.
This puts NTPC''s valuation at Rs51,135 crore, making it the country''s third most-valuable firm after ONGC and Reliance, edging out Indian Oil from the third spot in terms of market capitalisation.
ICICI Securities, Enam Financial Consultants and Kotak Mahindra Capital Company are the lead managers for the NTPC issue. The proceeds from the issue will be utilised to augment NTPC''s long-term resources.
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