NTPC Green Energy Limited (NGEL), a key player in India’s transition to sustainable energy, is all set to launch its Initial Public Offering (IPO) to raise capital for its green energy projects. This IPO marks an important milestone for NTPC as it aims to expand its renewable energy portfolio and play a vital role in achieving India’s ambitious green energy targets. Below is a detailed breakdown of the NTPC Green Energy IPO.
IPO Overview
- IPO Opening Date: November 19, 2024
- IPO Closing Date: November 22, 2024
- Listing Date: November 27, 2024 (tentative)
- Face Value: ₹10 per share
- Price Band: ₹102 to ₹108 per share
- Lot Size: 138 shares
- Total Issue Size: Up to ₹10,000 crore, through a fresh issue of 925,925,926 shares.
This IPO will be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), providing retail, institutional, and employee investors an opportunity to partake in NTPC’s green energy journey.
NTPC Green Energy IPO Structure
The IPO offers a wide range of shares to various investor categories, including Qualified Institutional Buyers (QIBs), Non-Institutional Investors (NIIs), Retail Individual Investors (RIIs), and employees. Here’s the detailed allocation:
- QIBs: 26.37% (24,44,44,445 shares)
- NII (HNI): 13.19% (12,22,22,222 shares)
- Retail Investors: 8.79% (8,14,81,481 shares)
- Employees: 2.1% (1,94,17,476 shares)
- Anchor Investors: 39.56% (36,66,66,666 shares)
IPO Timelines
- IPO Open Date: Tuesday, November 19, 2024
- IPO Close Date: Friday, November 22, 2024
- Basis of Allotment: Monday, November 25, 2024
- Initiation of Refunds: Tuesday, November 26, 2024
- Credit of Shares to Demat: Tuesday, November 26, 2024
- Listing Date: Wednesday, November 27, 2024
The IPO is a book-built issue, meaning that the final price will be determined through a bidding process, with bids placed within the defined price band of ₹102 to ₹108 per share.
NTPC Green Energy IPO Lot Size
Retail investors will be able to apply for a minimum of 138 shares, which will cost ₹14,904 (at the lower end of the price band). The maximum bid for retail investors is 1794 shares (₹193,752), while the HNI investors can bid for larger quantities.
| Investor Category | Shares | Amount |
|---|---|---|
| Retail (Min) | 138 | ₹14,904 |
| Retail (Max) | 1794 | ₹193,752 |
| S-HNI (Min) | 1932 | ₹208,656 |
| S-HNI (Max) | 9246 | ₹998,568 |
| B-HNI (Min) | 9384 | ₹1,013,472 |
Employee Discount
Employees of NTPC Green Energy Limited will be eligible for a discount of ₹5 per share, making this IPO an attractive opportunity for those invested in the company’s growth.
NTPC Green Energy: A Vision for the Future
NTPC Green Energy Ltd (NGEL) is a subsidiary of NTPC, India’s largest power company. The company was formed to bring together all of NTPC’s renewable energy assets under one umbrella, with the goal of becoming a global leader in green energy. By focusing on a diversified portfolio of green energy solutions, NGEL is poised to play a pivotal role in India’s green energy transition. The company aims to reach an ambitious target of 60 GW of renewable energy capacity by FY 2032, positioning itself as a leading force in clean energy both in India and worldwide.
Since its inception, NGEL has made impressive strides, commissioning several renewable energy projects across India. Notable milestones include:
- 2013: Commissioned 5 MW solar projects in Dadri and Port Blair.
- 2014-2017: Expanded with 10 MW solar projects in Talcher, Unchahar, and Singrauli, and introduced 50 MW wind energy in Rojmal.
- 2016: Commissioned a massive 250 MW solar project in Anantapur.
- 2017: Innovated with a 100 kW floating solar project at Kayamkulam.
- 2021-2022: Surpassed 2 GW of installed renewable energy capacity.
- 2023-2024: Reached significant milestones with joint ventures for green hydrogen and renewable energy parks in Rajasthan, Maharashtra, and Uttar Pradesh.
The company’s mission is to deliver reliable, affordable, and sustainable energy solutions by leveraging innovation and technology. In 2023, NGEL received several accolades, including the Best Engineered Project MERCOM Award for its 70 MW floating solar project in Kayamkulam.
Anchor Investors and Major Backing
The NTPC Green Energy IPO also witnessed significant backing from anchor investors, with ₹3,960 crore raised ahead of the public offering. The anchor investor portion accounts for nearly 40% of the total offering, showcasing strong institutional confidence in the company’s future. These investors are subject to a lock-in period, with half of the shares locked in for 30 days (until December 25, 2024), and the remaining shares for 90 days (until February 23, 2025).
Looking Ahead: A Green Future
NTPC Green Energy is positioning itself as a leader in the renewable energy space, contributing to India’s ambitious energy goals and the global fight against climate change. Through its diversified renewable energy projects and strategic joint ventures, the company is on track to scale up its capacity significantly.
The upcoming IPO is a key step in funding NGEL’s green initiatives, helping the company scale its operations and solidify its position as a major player in the renewable energy sector. For investors, this is an opportunity to be part of a company that is not only focused on financial growth but also on creating a sustainable and green future for the nation and the world.
Conclusion
With the NTPC Green Energy IPO opening on November 19, 2024, the company is ready to embark on a new chapter of growth in the renewable energy sector. As India works towards achieving its green energy goals, NGEL stands at the forefront of this transition, and the IPO represents an exciting opportunity for investors to support and benefit from this growth.