Govt sells 60.48 cr shares in NHPC for Rs 1,950 crore

The government has sold equity shares worth Rs 1,950 crore in the state-run hydro power generator NHPC Ltd under buyback issue of the company.

The Central government has sold 60.48 crore equity share, NHPC said in a BSE filing on Wednesday.

The company had offered a price of Rs 32.25 per equity share under the buyback offer to its shareholders.

According to the statement, the government was holding 824.82 crore shares in the company before the sale under the buyback which was reduced to 764.34 crore equity shares.

The government's equity stake remained almost the same after the buyback. Its holding was 74.51 per cent in the company before the sale of shares which is now 74.50 per cent after the transaction.

The company had offered to buy back shares not exceeding 81.13 crore representing 7.33 per cent of total shares at a price of Rs 32.25 for a consideration of Rs 2,616.59 crore.

The board of directors had approved the proposal for buy back of fully-paid shares from all shareholders not exceeding 10 per cent of the paid-up equity capital and free reserves as on March 31, 2016, at a meeting held on February 7, 2017.

Before the buyback, the promoter of the company (the central government) held 74.51 per cent while FIIs, financial institutions and banks and other public bodies have 4 per cent, 10.34 per cent and 11.15 per cent, respectively, as on February 3, 2017.