Mumbai: India’s state-run National Hydroelectric Power Corp Ltd on Wednesday revived efforts to raise $600 million (Rs2,530 crore) in an initial public offer, refiling papers with the market regulator, two bankers involved in the deal said.
The sale of 1.67 billion shares, which includes 1.12 billion in fresh shares, would represent 13.64 % of the post-issue paid up capital, the bankers said.
“The draft documents have just been filed. We expect to launch the issue in October or November,” a banker involved in the deal said. He declined to be named as he is not authorised to speak to the media.
The power producer had initially filed draft papers in April but had to delay the offer as it did not have enough independent directors on board, the bankers said.
SBI Capital Markets, Enam Financial Consultants and Kotak Mahindra Capital are advisers to the issue.
A weak Indian stock market has forced at least 10 firms to shelve or defer IPOs worth $4.1 billion this year, Thomson Reuters data showed.
NHPC’s share sale could also revive a stalled privatisation drive, a move many expect an emboldened government to adopt after it parted ways with its left allies.
The firm plans to use the money to part fund construction of at least six hydropower plants, they said.
India’s power sector needs 10 trillion rupees ($238 billion) of investment in the five years to 2012. Asia’s third-largest economy suffers from peak power shortages of about 12% and an overall energy deficit of about 10%.