Institutional investors placed bids for 802 million shares in the offer for sale (OFS) of NHPC, 2.3 times the 351 million shares on offer. Most of the bids came at around Rs 68 per share, higher than the floor price of Rs 66 set by the government.
Shares of NHPC fell 3.2 per cent to end at Rs 71. Through the OFS, the government was looking to divest nearly 3.5 per cent stake in the hydropower firm. The share sale comes following a near 70 per cent rally in NHPC in the past one year.
About 35 million shares reserved for retail investors will be auctioned on Friday. At the end of December 2023 quarter, the government held 70.95 per cent in NHPC. Following the OFS, its stake will reduce to 67.45 per cent.
