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NTPC FPO subscribed 99%

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Press Trust of India New Delhi
Last Updated : Jan 21 2013 | 1:47 AM IST

State-run NTPC's follow-on public offer (FPO), the first public issue this year by United Progressive Alliance (UPA) government, has been subscribed 99 per cent so far.

The issue, through which the government is divesting its 5 per cent stake, opened on February 3 and is closing today. By 1400 hrs, the FPO has received bids for 40.86 crore shares out of the 41.22 crore equity shares on offer.

While most of the subscriptions were made at Rs 209, more than 4 per cent of the floor price set by the government, final subscription figures would be known later in the day.

NTPC has come out with an issue size of 41.22 crore shares at a floor price of Rs 201 a piece. The government hopes to raise atleast Rs 8,286 crore through this issue.

The public issue of the country's largest power generator has witnessed poor response from the non-institutional and retail investors.

Till day two, retail buyers bid for only three per cent and in the non-institutional investors category, the public issue was subscribed 7 per cent, the latest break-up data with the National Stock Exchange shows.

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However, in the qualified institutional buyers portion the FPO witnessed a demand of 1.57 times till the end of second day, as per the NSE data.

"Today, being the last day of the FPO, the issue will see more demand," a market analyst said.

On the NSE, NTPC's shares today fell by 1.47 per cent to settle the trade at Rs 204.65.

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First Published: Feb 05 2010 | 3:20 PM IST

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