NTPC Green Energy has announced that it will launch its initial public offering (IPO) on Tuesday, November 19, and the three-day tender for the issue will conclude on Friday, November 22. The PSU player has fixed the price band at Rs 102 range. -109 per share, which investors can apply for at least 138 shares and multiples thereafter.

Founded in April 2022, NTPC Green Energy is a wholly owned subsidiary of NTPC Ltd. NTPC Green is a renewable energy company focused on undertaking projects through organic and inorganic means. As of August 31, 2024, the company has an operational capacity of 3,071 MW from solar projects and 100 MW from wind projects in six states.

NTPC Green Energy, backed by Ministry of Power’s NTPC Ltd, plans to raise Rs 10,000 crore through initial share sale, an all-new issue of up to 92.68 crore equity shares. The company has reserved shares worth Rs 200 for its eligible employees, who will get a discount of Rs 5 per share. Anchor Book opens on Monday, November 18.

Similarly, shares worth Rs 1,000 crore were reserved for NPTC shareholders. However, they will not receive any discount in this regard. While 75 percent of the net bid will be allocated to qualified institutional bidders, non-institutional investors and retail investors will have only 15 percent and 10 percent respectively.

The net proceeds from the issuance will be used to invest in the wholly owned Subsidiary NTPC Renewable Energy (NREL); For repayment and/or prepayment of all or part of outstanding indebtedness used by NREL; and general corporate purposes.

NTPC Green Energy had an operational capacity of 3,071 MW from solar projects and 100 MW from wind projects in six states as on August 31, 2024. The company’s portfolio consisted of 14,696 MW, of which 2,925 MW were operating projects and 11,771 MW were contracted and tendered projects. projects. There were 15 buyers in 37 solar projects and 9 wind projects.

NTPC Green Energy will be the third largest IPO of 2024 after Hyundai Motors India (Rs 28.756 billion) and Swiggy (Rs 11.327 billion). NPTC Green has been steadily losing ground in the unofficial market with the gray market premium (GMP) falling to Rs 9-10 levels, signaling a 12 per cent listing increase above the upper end of the price band. GMP was at Rs 25 a day ago.

For the quarter ended June 30, 2024, NTPC Green Energy reported a net profit of Rs 138.61 billion on revenue of Rs 607.42 billion. The company made a profit of Rs 344.72 billion with revenue of Rs 2,037.66 billion for the financial year 2023-24.

IDBI Capital Market Services, HDFC Bank, IIFL Securities and Nuvama Wealth Management are the lead managers of NTPC Green Energy IPO, while Kfin Technologies is the registrar for the issue. The company’s shares will be traded on both BSE and NSE on Wednesday, November 27.