NTPC disinvestment: EGoM to decide OFS price on Tuesday

The empowered Group of Ministers (EGoM) chaired by Finance Minister P Chidambaram is expected to meet on Tuesday to decide on time and price of 9.5% stake sale in power firm NTPC Ltd which could fetch Rs.12,000 crore to the exchequer.

“The EGoM on stake sale in NTPC will be held tomorrow," an official said. The government, he said, was proposing to offload its stake in NTPC later in the week through the offer for sale (OFS) route.

The department of disinvestment (DoD) had successfully completed 10% stake sale in Oil India Ltd (OIL) through the auction route last week raising over Rs.3,113 crore for the government.

The DoD has already conducted international roadshows for disinvestment of NTPC.

With OIL stake sale going through, the government has raised over Rs.10,000 crore though public sector unit (PSU) stake sale so far this fiscal. This include Rs.6,000 crore from stake sale in NMDC Ltd , Rs.800 crore from HCL Technologies Ltd and Rs.125 crore from NBCC.

Disinvestment secretary Ravi Mathur had said earlier that the government will be able to raise Rs.27,000 crore through disinvestment in the current fiscal, lower than the budgeted Rs.30,000 crore.