Fri Nov 22 03:40:00 UTC 2024: ## NTPC Green Energy IPO Opens to Mixed Reception

**Mumbai, November 22, 2024** – The ₹10,000 crore initial public offering (IPO) of NTPC Green Energy Ltd (NGEL), the renewable energy subsidiary of NTPC Ltd, concluded today after a three-day subscription period. While the IPO received strong interest from retail investors, overall subscription remained below expectations.

NGEL, aiming to raise ₹10,000 crore through a fresh equity issue, priced its shares between ₹102 and ₹108. The retail investor portion was significantly oversubscribed, reaching 2.38 times subscription on the second day. However, the Qualified Institutional Buyers (QIBs) and Non-Institutional Investors (NIIs) segments showed weaker interest, with subscriptions at 75% and 34% respectively by the close of trading on Thursday. By the end of the IPO on Friday, the overall subscription level reached approximately 0.93 times.

Despite the less-than-stellar overall response, NGEL successfully raised ₹3,960 crore from anchor investors prior to the IPO launch, with the Life Insurance Corporation of India (LIC) being the largest investor at ₹500 crore. Other significant anchor investors included several global and domestic mutual funds and institutional investors.

The funds raised from the IPO will primarily be used to repay debt of its subsidiary, NTPC Renewable Energy, and for general corporate purposes. NTPC Green Energy aims to expand its renewable energy capacity to 19 gigawatts (GW) by March 2027. The company’s chairman and managing director expressed confidence in the long-term prospects of the company, highlighting its strong fundamentals and parent company support.

Several brokerage firms offered mixed opinions on the IPO, with some recommending subscription for long-term investors while others cautioned against the potentially high valuation. The IPO’s final allocation and listing date will be announced soon.

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