NHPC Shares Surge 4% as Retail Bidding Opens Following Oversubscribed Offer for Sale

NHPC Shares Surge Amid Strong Demand for Government's Offer for Sale

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. This marked a significant turnaround from the previous day, when the stock had declined more than 4 per cent 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. The Department of Investment and Public Asset Management (DIPAM) Secretary, Arunish Chawla, announced the enthusiastic response to the offer in a post on X, stating that allocation would be on a price priority basis. Retail investors and employees got to bid on June 3, 2026.

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The NHPC OFS marks the third government stake sale in a public sector undertaking during the current financial year. In a separate development, the Centre raised Rs 5,542 crore through a 2 per cent stake sale in Coal India last week, 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.