NHPC rises 4% as retail bidding opens after oversubscribed OFS, full greenshoe exercise- Grow Mudra

NHPC rises 4% as retail bidding opens after oversubscribed OFS, full greenshoe exercise

03 Jun , 2026 By : Debdeep Gupta

Shares of state-run hydropower producer NHPC gained over 4 per cent in morning trade on Wednesday as the government's offer for sale (OFS) opened for retail investors and employees following strong demand from institutional buyers on the first day.

At 10:00 IST, NHPC was trading at Rs 75.35 on the NSE, up Rs 3.06, or 4.23 per cent.

The stock had declined more than 4 per cent on Tuesday after the government launched the OFS to divest up to a 6 per cent stake in the company at a discount to the prevailing market price.

The NHPC OFS was oversubscribed 3.47 times on the opening day, prompting the Centre to increase the stake sale to the entire 6 per cent on offer.

"Offer for Sale in NHPC Limited received enthusiastic response from investors and was oversubscribed 3.47 times on the first day. Allocation will be on a price priority basis. The government has decided to exercise the entire green shoe option. Retail investors and employees get to bid on 3rd June 2026," Department of Investment and Public Asset Management (DIPAM) Secretary Arunish Chawla said in a post on X.

The NHPC OFS marks the third government stake sale in a public sector undertaking during the current financial year.

Last week, the Centre raised Rs 5,542 crore through a 2 per cent stake sale in Coal India, while an 8.08 per cent divestment in Central Bank of India in May fetched Rs 2,266 crore.

With these transactions, the government's disinvestment proceeds in FY27 have reached Rs 7,808 crore. The Union Budget has set a target of raising Rs 80,000 crore through disinvestment and asset monetisation in FY27, significantly higher than the revised estimate of Rs 33,837 crore for FY26.