New Delhi: The country`s largest power firm NTPC`s follow-on public offer got subscribed 77 per cent today --the first day of the issue, with most of the bids coming at
Rs 209 a share.
The FPO, through which the Government is divesting its 5 per cent stake, got bids for over 31.90 crore shares against 41.22 crore equities on offer, according to the data available with the National Stock Exchange.
According to the NSE data, the FPO received maximum bids (21.83 crore) at Rs 209. At the highest price of Rs 210, the issue got demands for 24.14 lakh shares on its first day.
The offer is being made through the alternate method of book-building under which institutional investors would submit their bids at any price above the floor price, while bidders other than qualified institutional buyers (QIBs) like non-institutional bidders and retail individual bidders will apply at the floor price.
Up to 50 per cent of the net offer will be allocated to the QIBs.
NTPC has come out with an issue size of 41.22 crore shares at a floor price of Rs 201 per piece. At the floor price the FPO would fetch up about Rs 8,286 crore to the Government.
Post-FPO, the Government`s holding will come down to 84.5 per cent.