Nov 03, 2010, 06.56 PM | Source: Moneycontrol.com
India's biggest inter-state transmission company Power Grid Corporation of India is set to hit capital markets again with a follow-on public offer on November 9, 2010.
The subscription for FPO will be closed for QIB bidders on November 11 and for retail and non-Institutional bidders (including eligible employees bidding in the Employee Reservation Portion) it will close on November 12.
The company is offering 84,17,68,246 equity shares through IPO, which comprises a fresh issue of 42,08,84,123 shares and an offer for sale of 42,08,84,123 shares by the President of India acting through the Ministry of Power, Government of India.
The issue will constitute 18.2% of the post issue paid-up capital of company.
The proceeds will be mainly utilised for constructing nine country-wide high capacity power transmission corridors costing USD 13 billion (Rs 58,000 crore).
SBI Capital Markets Ltd, Goldman Sachs (India) Securities Pvt Ltd, ICICI Securities and JP Morgan India Pvt Ltd are the book running lead managers to the issue.
Earlier, on July 2, the company has approved the FPO of 20% of existing paid up share capital comprising fresh issue of 10% of existing paid up share capital and offer for sale (Disinvestment) of 10% of existing paid up share capital by Government of India. Post dilution, the government stake would be 76.36% in company.
The company had raised nearly Rs 3,000 crore via IPO in October, 2007, wherein the government had divested 5% stake in the company.