Disinvestment of small portions of Government’s shareholding in Rural Electrification Corporation Limited, Power Grid Corporation of India Ltd. and National Hydro-electric Power Corporation Limited
The Cabinet Committee on Economic Affairs today gave its approval for sale of 10%, 5% and 5% of the pre-issue paid up equity of Rural Electrification Corporation Limited (REC), Power Grid Corporation of India Ltd. (PGCIL) and National Hydro-electric Power Corporation Limited (NHPC) respectively, out of Government’s shareholding, alongwith the fresh issue of equity equal to 10% of the pre-issue paid up capital each of REC, PGCIL and NHPC.
The Book Running-cum-Lead Managers (BRMLs) would be appointed by the CPSE concerned through a procedure of competitive bidding.
The other intermediaries for the IPO would be appointed by the CPSE concerned by adopting its own procedure.
The price band/floor price and offer price would be proposed by the CPSE concerned and approved by the Minister of Power and the Minister of Finance.
All other activities relating to the IPO would be done by the CPSE concerned.
The following procedure will be adopted:
It will provide resources for the National Investment Fund.
Link is being provided for easy reference to NHPC India website: