Not remaining untouched by the unruly market conditions caused by the global financial upheaval, state-run NHPC may delay its initial public offer (IPO) of 167 crore equity shares planned in October.
"The NHPC board will review about IPO slated for October. The market conditions look uncertain for the IPO as of now," Minister of State for Power Jairam Ramesh said on the sidelines of an industry function.
NHPC had filed the Draft prospectus with the market regulator last month and it (the company) has also received the observations.
The company, however, has not yet submitted the final prospectus and replies to the queries raised by Sebi, sources close to the development said, indicating that the NHPC may delay its IPO of offloading 10 per cent stake along with divestment of five per cent equity.
NHPC had earlier scheduled to hit the market between October 13-17. The company was to raise Rs 1,670 crore worth fresh equity besides the premium to be decided later.
NHPC Board had approved the IPO together with five per cent disinvestment of government stake in the first week of August.
This is the second time that NHPC would be deferring the IPO. Earlier, last year it had to shelve its plans as independent directors were not on the Board and this time uncertain market conditions are responsible.
NHPC, which accounts for 3.7 per cent of country's total power generation capacity, targets to double its power generation capacity by 2012 from the present 5,200 Mw and has outlined expansion plans worth Rs 28,000 crore.
