NHPC IPO likely to hit market on August 7
The much-awaited Initial Public Offer of state-owned NHPC to raise Rs 1,680 crore is likely to hit the market on August 7.
By PTI |
NEW DELHI: The much-awaited Initial Public Offer of state-owned NHPC to raise Rs 1,680 crore is likely to hit the market on August 7.
"If everything goes well the IPO (Initial Public Offer) is likely in the first week of August, tentatively August 7," NHPC Chairman and Managing Director SK Garg told reporters here.
NHPC would infuse 10 per cent fresh equity through this public offer to raise Rs 1,680 crore, while the government will divest its five per cent stake in the company.
It would come up with 168 crore shares of face value of Rs 10 each, which would be offered at a premium through book building process.
As per the SEBI listing norms, independent directors should form 50 per cent of the board which is headed by executive chairman. To meet this criteria, NHPC should have seven independent directors on board before it can go to the market.
The company filed the draft red herring prospectus (DRHP) with market regulator Securities and Exchange Board of India on August 6, 2008.
NHPC had also filed for DRHP in April 2007 but was not given permission by the market regulator as the company did not have the required strength of non-official directors on board, which it now has.
"If everything goes well the IPO (Initial Public Offer) is likely in the first week of August, tentatively August 7," NHPC Chairman and Managing Director SK Garg told reporters here.
NHPC would infuse 10 per cent fresh equity through this public offer to raise Rs 1,680 crore, while the government will divest its five per cent stake in the company.
It would come up with 168 crore shares of face value of Rs 10 each, which would be offered at a premium through book building process.
As per the SEBI listing norms, independent directors should form 50 per cent of the board which is headed by executive chairman. To meet this criteria, NHPC should have seven independent directors on board before it can go to the market.
The company filed the draft red herring prospectus (DRHP) with market regulator Securities and Exchange Board of India on August 6, 2008.
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NHPC had also filed for DRHP in April 2007 but was not given permission by the market regulator as the company did not have the required strength of non-official directors on board, which it now has.
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