GIC Singapore becomes 3rd highest stakeholder in NTPC

With a bid amounting close to 6.2 crore or 0.84 per cent valued at Rs 1,000 crore at the NTPC offer for sale, the sovereign wealth fund GIC of Singapore could become the third highest stakeholder in the power generation company if it gets allotment worth that amount. The government holds 75 per cent after the issue and LIC held 6.2 per cent as on December, 2012 and no other single holder has stakes over 1 per cent in NTPC.

The offer for sale, which saw strong participation from foreign institutional investors also had GIC as the single biggest bidder.

An investment banker involved with the issue said the details would be available later but it is estimated that somewhere between 50-60 per cent has been allocated to FII's. He said that the average realisation for the government stands at Rs 146.4 for the issue.

While he confirmed that GIC of Singapore bid for shares worth Rs 1,000 crore, he said that the allotment amount is not known yet.

A PTI report suggests that the cut-off price has been fixed at Rs 145.55 as against the floor price of Rs 145 and FII's have been allocated 44.92 per cent shares while banks and insurance companies have been allotted 11.05 per cent and 24.87 per cent respectively.

LIC too has got around 15 per cent of the total allotment made and and mutual funds have got 8.35 per cent.

The issue that was open for subscription on Thursday, February 7, 2013 was oversubscribed 1.7 times and while it came to raise a minimum of Rs 11,350 crore, it received interest worth Rs 19,380 crore.

Buying stake

* Sovereign wealth fund GIC of Singapore had bid 0.84% shares of NTPC worth Rs 1,000 crore. It was the single biggest bidder in the offer for sale

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