NTPC Green Energy IPO: Good news for those who bet on Initial Public Offering. Another most awaited IPO is opening for investment next week. The IPO will open for subscription on November 19 and will close on November 22.
NTPC Green Energy IPO: Good news for those who bet on Initial Public Offering. Another most awaited IPO is opening for investment next week. This IPO is of NTPC Green Energy Limited, the green energy unit of public sector NTPC Limited. The IPO will open for subscription on November 19 and will close on November 22. The company has fixed the price band per equity share for its IPO between ₹ 102 to ₹ 108. Investors can bid for the issue in lots of 138 shares and its multiples. The IPO of NTPC Green Energy Limited is worth ₹ 10,000 crore. This stock is available at a premium of Rs 9 in the gray market today.
What is the detail
NTPC Green Energy’s Rs 10,000 crore IPO will be entirely a fresh issue of equity shares and there will be no offer for sale (OFS) component for it. This will be the third largest IPO of the year after Hyundai Motor India’s Rs 27,870 crore issue and Swiggy’s Rs 11,300 crore IPO. About 75% of the net IPO will be reserved for institutional investors, while 15% of the issue will be reserved for non-institutional investors. 10% of the IPO will be reserved for retail investors. Shares worth up to Rs 200 crore will be reserved for eligible employees, who can also avail a discount of Rs 5 per share while bidding. Shares worth up to Rs 1,000 crore will be reserved for existing investors of NTPC under the shareholder quota.
Company Business
NTPC Green Energy is a subsidiary of Maharatna PSU NTPC and is involved in developing a portfolio of utility-scale renewable energy projects. Offtaker concentration risk, supplier concentration risk and project execution risk are some of the risk factors highlighted by NTPC Green Energy in its Red Herring Prospectus.
