NTPC sinks as OFS opens

NTPC is down in the red. The stock hit an intra day low at Rs.122.60 and is now at Rs.124 levels, down over 2%.

The market is disappointed that the PSU has once again decided to go for the offer for sale. The Govt of India yesterday issued a statement yesterday that it will be selling up to 41.22 crore equity shares , which is 5% of the paid up capital of the company through an offer for sale (OFS).

The floor price for the OFS has been fixed at Rs122/share which is as usual at a discount to the closing price of Rs.126.85 of yesterday.

The bidding for non-retail investors has begun today, through a single trading session called ‘T' day. And bidding by retail investors will take place in a single trading session called T+1 day tomorrow.

Currently, the Govt holds a 74.96% stake in the company.