Power Grid may head lower after share sale: dealers

Power Grid Corp of India Ltd shares look ripe for profit-taking after rising nearly 6% since Monday's close on the back of good investor response to its $1.1 billion share sale, according to dealers.

Dealers say the rally is being driven by sentiment and not by a change in fundamentals.

Shares sales in other state-run companies in the past have also faltered.

NTPC Ltd shares are almost flat since its $2.15 billion share sale in February from the government's minimum offer price, while NMDC Ltd is about 3.3% lower since its $1.1 billion share sale in Dec 2012, as of Thursday's close.