Business Today
Loading...

Eight merchant bankers bid for NHPC stake sale

The government plans to sell 11.36 per cent in NHPC through an Offer For Sale and up to three merchant bankers would be appointed to manage the disinvestment.

twitter-logoPTI | August 18, 2014 | Updated 11:29 IST
Eight merchant bankers bid for NHPC stake sale

As many as eight merchant bankers, including ICICI Securities, SBI Capital and Avendus, have applied for managing the 11.36 per cent stake sale in NHPC.

The government plans to sell 11.36 per cent in NHPC through an Offer For Sale (OFS) and up to three merchant bankers would be appointed to manage the disinvestment.

At the current market price of Rs 21.25 a piece, the sale of 125.76 crore shares would fetch over Rs 2,600 crore to the exchequer.

Others who are vying for the job are Edelweiss Financial, Kotak Mahindra Capital, HSBC Securities, IDBI Capital and IDFC Capital, according to official sources.

Besides, four legal firms, including Crawford Bayley and Axon Partners, have also bid for appointment as legal advisor for the stake sale.

The government holds 85.96 per cent stake in NHPC. The stake sale would help the company comply with the minimum 25 per cent public shareholding norm of market regulator Securities and Exchange Board of India.

In the current financial year, the government plans to mop up Rs 43,425 crore from selling stake in PSUs. The Cabinet nod for NHPC stake sale is expected shortly.

  • Print
  • COMMENT
BT-Story-Page-B.gif
A    A   A
close