The Government of India, acting through the Ministry of Power, is initiating an Offer for Sale (OFS) of equity shares in NHPC Limited. This strategic disinvestment aims to sell up to 3.00% of the paid-up equity capital, equating to 30,13,51,044 equity shares. The OFS will be conducted on the stock exchange mechanism on June 2, 2026 (T day) for non-retail investors and June 3, 2026 (T+1 day) for retail investors. A greenshoe option to sell an additional 3.00% is also available.
Government Divests Stake in NHPC
The President of India, represented by the Ministry of Power, Government of India (the “Seller”), has announced a proposed Offer for Sale (OFS) of equity shares in NHPC Limited. The face value of each equity share is ₹10. This initiative is being undertaken through the stock exchange mechanism, adhering to the guidelines provided by SEBI and the stock exchanges.
Offer Details and Timeline
The “Base Offer Size” comprises up to 30,13,51,044 equity shares, representing 3.00% of the company’s total paid-up equity share capital as of March 31, 2026. Additionally, there is an “Oversubscription Option” to sell a further 30,13,51,044 equity shares, which would bring the total sale to 6.00% if fully exercised. The total offer size, if the greenshoe option is exercised, would be 60,27,02,088 equity shares.
The OFS is scheduled to take place over two trading days:
- June 2, 2026 (T day): For non-Retail Investors.
- June 3, 2026 (T+1 day): For Retail Investors, Employees, and non-Retail Investors who choose to carry forward their un-allotted bids.
The offer window will be open from 9:15 a.m. to 3:30 p.m. Indian Standard Time on both T day and T+1 day.
Reserved Categories and Allocation
10% of the Offer Shares are reserved for allocation to Retail Investors. A minimum of 25% of the Offer Shares is reserved for allocation to mutual funds and insurance companies. The “Employee Offer” provides for up to 45,20,265 equity shares to eligible employees, with individual application limits of up to ₹500,000.
The floor price for the Offer has been set at ₹71.00 per equity share. Allocation will be on a price priority basis at multiple clearing prices. Retail investors have the option to bid at or above the “Cut-Off Price”.
Important Information for Bidders
Prospective investors are urged to read the entire notice and the OFS Guidelines thoroughly. Non-institutional investors in the non-Retail Category must deposit 100% of the bid value upfront. Retail investors can modify or cancel orders placed on T+1 day. Bidders are reminded that the offer is not a public offer and is made in reliance on exemptions under applicable securities laws. The Seller reserves the right to withdraw the offer under certain conditions.
The designated brokers for the Seller include ICICI Securities Limited, Goldman Sachs (India) Securities Private Limited, and SBICAP Securities Limited.
Source: BSE
