PTC India shares hit 5% upper circuit on likely progress in stake sale process

PTC India

Shares of PTC India were locked in the 5 percent upper circuit at Rs 100.65 in the opening hours today following reports of progress in the stake sale process.

The stock has gained close to 20 percent ahead of the Budget. Expectations that the upcoming Union Budget might include divestment-related announcements also prompted investors to place tactical bets ahead of the event. The scrip is up 24 percent year-to-date.

According to The Economic Times, Tata Power, Greenko, JSW Energy and Adani Group have been approached to access their interest in buying a strategic stake in PTC India.

Read here | Governance controversy behind us, eyeing to scale up in FY24: PTC India Financial MD

Five public sector undertakings, including four promoter firms of PTC India are planning to sell their stake in the power trading company, the report added.

The promoters - NTPC, NHPC, Power Finance Corp and Power Grid Corp of India - hold a combined stake of around 16 percent in PTC India.

Several independent directors have stepped down from PTC India’s board alleging mismanagement in the company and its subsidiary PTC India Financial Services.

PTC India is a pioneer in starting a power market in India and undertakes trading activities, which include long-term sell of power generated from large power projects as well as short-term trading arising out of supply and demand mismatches.

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