NHPC IPO subscribed 3.5 times on day one

The initial public offer (IPO) of NHPC, the government-owned hydropower generating entity, was subscribed 3.54 times on the opening day. The quota reserved for qualified institutional buyers (QIBs) was over-bid by more than six times, while retail investors’ portion was subscribed to only 1%.

According to the data available on the National Stock Exchange website, the company received bids for over 5.94 billion shares against the 1.67 billion shares on offer. More than 40 million bids came at the cut-off price.

The company hopes to mop up over Rs 6,000 crore and it is the first stake sale by a PSU in more than one and a half years, after REC raised over Rs 1,600 crore in February 2008.