Fri Nov 15 05:20:00 UTC 2024: ## NTPC Green Energy IPO Kicks Off with ₹10,000 Crore Offering

**New Delhi, November 19, 2024** – NTPC Green Energy, a wholly-owned subsidiary of NTPC Ltd, is set to launch its initial public offering (IPO) on Tuesday, November 19, seeking to raise ₹10,000 crore. The company is offering its shares in the price range of ₹102-108 apiece, with a minimum bid of 138 shares and multiples thereof. The three-day bidding process will conclude on Friday, November 22.

Market experts are optimistic about the IPO, citing NTPC Green Energy’s strong parentage, low cost of capital, aggressive growth plans, robust product portfolio, and experience in renewable energy project execution. SBI Securities projects the company to increase its operational capacity to 6/11/19 GW by FY25E/FY26E/FY27E respectively from its current 3.3 GW. The brokerage firm recommends investors subscribe to the issue for long-term gains.

The IPO, entirely a fresh share sale of over 92.59 crore equity shares, has a reservation of ₹200 crore for eligible employees at a discounted rate of ₹5 per share and ₹1,000 crore for NTPC Ltd shareholders. 10% of the shares are reserved for retail investors, 75% for qualified institutional bidders (QIBs), and 15% for non-institutional investors.

NTPC Green Energy boasts exponential growth potential with projected revenue, Ebitda, and PAT growth CAGR of 79%, 117.2%, and 123.8% respectively over the FY24-27E period, according to SBI Securities. Although the grey market premium currently stands at ₹3 per share, suggesting a listing pop of nearly 3%, market analysts caution against focusing on listing gains due to current stock market volatility.

“We are extremely bullish on NTPC Green Energy,” stated Vinit Bolinkar, Head of Research at Ventura Securities, highlighting the company’s potential for value unlocking due to its aggressive growth plans. Kush Ghodasara, an independent Sebi-registered market analyst, echoed this sentiment, emphasizing the long-term potential of the IPO.

NTPC Green Energy, incorporated in April 2022, focuses on renewable energy projects through organic and inorganic routes. The company had an operational capacity of 3,071 MW from solar projects and 100 MW from wind projects across six states as of August 31, 2024.

The IPO is managed by IDBI Capital Market Services, HDFC Bank, IIFL Securities, and Nuvama Wealth Management, with Kfin Technologies serving as the registrar. NTPC Green Energy shares are expected to be listed on both BSE and NSE on Wednesday, November 27.

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