NTPC FPO : 5th Feb Last day tomorrow

NTPC Limited (NTPC), India’s largest power generation company, has come out with a follow-on public offer (FPO) of 412,273,220 equity shares of Rs. 10 each at a floor price of Rs. 201 per share which is at a discount of ~Rs. 5 to the ruling market price, with the Government of India looking to raise in excess of Rs. 82.87 bn by divesting 5% of its stake in the company.




NTPC is the best defensive play in the Indian power sector considering its position of market leadership, strong balance sheet, high credit rating, efficient operational capabilities and stable cash flows. At the floor price of Rs. 201 for the issue stock appears to be at discount.


I think we should go ahead and subscribe to this issue.