Wed Nov 13 08:20:00 UTC 2024: ## NTPC Green Energy to Launch Rs 10,000 Crore IPO This Week

**New Delhi, November 18, 2024:** NTPC Green Energy, a subsidiary of state-owned NTPC Ltd, is set to launch its initial public offering (IPO) on Tuesday, November 19. The three-day bidding period will conclude on Friday, November 22. The IPO will offer 92.68 crore equity shares at a price band of Rs 102-109 per share, with a minimum application size of 138 shares.

The company, incorporated in April 2022, is a renewable energy player focused on developing projects through organic and inorganic routes. As of August 31, 2024, it had an operational capacity of 3,071 MW from solar projects and 100 MW from wind projects across six states. NTPC Green Energy aims to raise Rs 10,000 crore through the IPO, which is entirely a fresh issue.

The company has reserved Rs 200 crore worth of shares for eligible employees, who will receive a discount of Rs 5 per share. Another Rs 1,000 crore worth of shares are reserved for NTPC shareholders, without any discount.

The IPO allocation will be distributed as follows: 75% for qualified institutional bidders, 15% for non-institutional investors, and 10% for retail investors.

The net proceeds from the IPO will be used for investments in subsidiary NTPC Renewable Energy (NREL), repayment of outstanding borrowings by NREL, and general corporate purposes.

NTPC Green Energy is poised to become the third largest IPO of 2024, following Hyundai Motors India and Swiggy. Despite a decline in its grey market premium (GMP), the IPO is expected to list with a 12% pop over the upper end of the price band.

The company reported a net profit of Rs 138.61 crore on a revenue of Rs 607.42 crore for the quarter ended June 30, 2024. For the financial year 2023-24, its bottomline stood at Rs 344.72 crore on a revenue of Rs 2,037.66 crore.

IDBI Capital Market Services, HDFC Bank, IIFL Securities, and Nuvama Wealth Management are the book running lead managers for the IPO, while Kfin Technologies serves as the registrar. The company’s shares are expected to be listed on both the BSE and NSE on Wednesday, November 27.

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