The government raised approximately ₹4,300 crore through the fully subscribed offer-for-sale (OFS) of NHPC shares, according to thehindubusinessline.com. The transaction involved the sale of government-held stakes in NHPC and was completed recently, marking a significant capital-raising event in the public sector space.
The OFS process was conducted on the stock exchanges, where investors had the opportunity to purchase shares directly from the government’s holdings in NHPC. The full subscription of the offer indicates strong investor interest in the hydropower company’s equity. The government’s move to divest part of its stake aligns with its broader strategy to monetize assets and boost fiscal resources.
This stake sale adds to a series of government divestments aimed at reducing fiscal deficits and improving public finances. NHPC, being a key player in the renewable energy sector, attracts institutional and retail investors alike. The ₹4,300 crore raised through this OFS is among the notable government fundraising efforts this year, reflecting the market’s appetite for public sector undertakings with stable business models.
The NHPC OFS transaction was completed in early June, with the shares listed on the stock exchanges immediately after the sale. The government’s successful divestment through this fully subscribed offer contributes to its disinvestment target for the fiscal year, reinforcing its commitment to asset monetization.