Subscriptions for NTPC Green Energy's eagerly anticipated IPO are anticipated to open next week. Particularly in light of the successful listing of another renewable energy-related IPO, Waaree Energies, investors are eagerly anticipating this one.
The public offering of the state-owned company is expected to begin bidding on November 19, according to reports. On the other hand, the anchor investor round is scheduled for November 18.
IPO size and structure
The public offering of the NTPC subsidiary is intended to raise Rs 10,000 crore. With no offer-for-sale (OFS) component, the NTPC Green Energy IPO is anticipated to be a completely new share issuance.
The public issue's price range has not yet been determined. Sources, however, claim that the shares will be issued at a face value of Rs 10 each.
Subscription and listing timeline
Reports state that between November 12 and 14, NTPC Green Energy is anticipated to submit its red herring prospectus (RHP). According to reports, the NTPC Green Energy IPO subscription period is anticipated to run from November 19 to November 22. The listing date and the allotment date have not yet been disclosed.
Shareholder and other quotas
According to NTPC Green Energy, qualified institutional buyers will receive up to 75 per cent of the net issue, while retail investors will receive 10 per cent and non-institutional investors will receive 15 per cent.
Additionally, there is a reservation for NTPC Limited shareholders in the public offering. Under the shareholder's quota, shareholders who held NTPC shares on the day the Red Herring Prospectus was filed may apply.
IPO GMP (grey market price)
The grey market price for NTPC Green energy IPO was currently trading at Rs 9 per share declining from Rs 25 per share.
Utilisation of IPO proceeds
The company plans to use Rs 7,500 crore of the total funds raised via the public issue to repay the borrowings of its wholly-owned subsidiary, NTPC Renewable Energy Limited (NREL). A portion of the proceeds will also be used by NTPC Green Energy for its general corporate purposes.
