Nearly 50% NTPC staff participated in divestment of company

Close to 50 per cent employees of NTPC had participated in the disinvestment of state-run power producer and the government realised Rs 203.78 crore.
The offer of shares by government to eligible employees of NTPC Limited was carried out from June 27 to July 05.
"The Offer for Sale for Employees of NTPC Limited got an enthusiastic response from the employees with nearly 50 per cent participating in the offer," the Finance Ministry said in a statement.
Employees applied for 85.3 per cent of about 2 crore shares on offer for allotment. The offer price for them was Rs 115.9 per share.

This is one of the highest employees participation in post OFS disinvestment process of any company, the ministry said, adding the employees participation in the disinvestment process "gives a sense of belongingness to the company".
The employee offer was made pursuant to the decision of the government to disinvest 5 per cent of its stake in NTPC on May 13 last year.

The government had approved that shares may also be allotted to the eligible and willing employees of the Company up to a maximum of 0.25 per cent of the paid up equity capital at a discount of 5 per cent.

The OFS of NTPC was completed on February 24. The total realisation was Rs 5,014.55 crore.
The lowest cut off during the OFS was Rs 122 per share. Accordingly, after 5 per cent discount the offer price for employees was Rs 115.90 per share.