NHPC shoots up 6.5%, cabinet note on share buyback soon
The government had earlier planned to divest 11.36 percent stake in NHPC via an offer for sale. It had also selected Credit Suisse and HSBC as merchant bankers to manage the sale of shares.
September 13, 2013 / 15:03 IST
Moneycontrol Bureau
Hydro power producer NHPC surged 6.5 percent on hopes of a share buyback. According to reports, the power ministry will soon float a cabinet note for buying back shares worth Rs 1600 crore from the market. The government had earlier planned to divest 11.36 percent stake in the company via an offer for sale. It had also selected Credit Suisse and HSBC as merchant bankers to manage the sale of shares. But due to choppy market conditions, the government changed the plan. At present, it holds 86.36 percent stake in NHPC.
Don't miss: Adani Power, Tata Power gain; CERC to fix compensatory rate
NHPC generates 5,702 MW electricity from 17 hydel stations in the country. As many as seven power stations with a total capacity of 4,095 MW are under construction. The Government plans to raise Rs 40,000 crore in the current financial year (2013-14) through disinvestment.At 12:20 hrs, the stock was quoting at Rs 18.75, up Rs 1.05, or 5.93 percent on the BSE.(With inputs from PTI) Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
