NTPC declines amid heavy volumes

NTPC lost 2.05% to Rs 155 at 12:18 IST on BSE on reports that the company's employees have resorted to heavy selling of shares after lock-in period post subscription to the company's shares in the offer for sale held in February this year.

Meanwhile, the S&P BSE Sensex was down 169.72 points or 0.61% at 27,772.39.

The stock declined amid heavy volumes. On BSE, so far 16.12 lakh shares were traded in the counter as against average daily volume of 2.65 lakh shares in the past one quarter. The stock was highly volatile. The stock slumped as much as 11.72% at the day's low of Rs 139.70 so far during the day. The stock fell 1.1% at the day's high of Rs 156.50 so far during the day. The stock had hit a 52-week high of Rs 159.90 on 13 July 2016. The stock had hit a 52-week low of Rs 107.20 on 25 August 2015. The stock had outperformed the market over the past one month till 14 July 2016, gaining 6.78% compared with 5.86% rise in the Sensex. The scrip had also outperformed the market in past one quarter, advancing 15.38% as against Sensex's 9.03% rise.

The large-cap company has equity capital of Rs 8245.46 crore. Face value per share is Rs 10.

It may be recalled that NTPC had announced last month that the Government of India (GOI) had offered 2.06 crore shares to the eligible employees of the company at discounted price of Rs 115.90 per share i.e. 5% discount to the cut off price of Rs 122 discovered through the offer for sale (OFS) of shares of NTPC carried out by GOI on 23 February 2016 and 24 February 2016.

NTPC's net profit fell 7.7% to Rs 2716.41 crore on 6.4% decline in net sales to Rs 17990.09 crore in Q4 March 2016 over Q4 March 2015.

NTPC, India's largest power company, has presence in the entire value chain of power generation business. The GOI held 69.96% stake in the company (as per the shareholding pattern as on 30 June 2016).

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