"The EGoM has approved 9.5 per cent stake sale in NTPC. The stake sale will be made on February 7," Disinvestment Secretary Ravi Mathur told reporters here.
The Empowered Group of Ministers (EGoM) on disinvestment is chaired by Finance Minister P Chidambaram.
When asked how much would be raised through the sale, Mathur said, "it would be as planned around Rs 12,000 crore".
He said the floor price, or the minimum offer price, would be notified to the stock exchanges tomorrow.
The government plans to sell over 78.32 crore shares or 9.5 per cent stake in NTPC through offer for sale (OFS). It currently holds 84.50 per cent stake in NTPC.
Shares of NTPC closed at Rs 155.60, up 0.16 per cent on BSE. At the current market price, the stake sale could fetch over Rs 12,100 crore to the exchequer.
The government had last month appointed merchant bankers, including Citigroup, SBI Capital Market and Morgan Stanley, for managing the NTPC stake sale.
The department has recently completed 10 per cent stake sale of the Oil India (OIL) through the auction route raising over Rs 3,141 crore for the government. The government has raised over Rs 10,000 crore though PSU stake sale so far this fiscal.
Besides OIL, the government has raised Rs 6,000 crore from stake sale in NMDC, Rs 800 crore from Hindustan Copper and Rs 125 crore from NBCC.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app