NTPC rises 4% after government’s nod for stake sale

NTPC rises 4% after government’s nod for stake sale

Mumbai: Shares of state-run power producer NTPC on Tuesday climbed over 4% on the Bombay Stock Exchange (BSE) in morning trade, a day after the government approved a 5% stake sale in the company.

The stock surged by 4.25% to touch a high of Rs223 on BSE. On the National Stock Exchange (NSE) the shares of the company rose by 3.79%.

Over 10 lakh shares were traded on the bourses.

Later, the scrip was quoted at Rs219.70, up 2.71% on BSE. The stock was trading at Rs219.15, up 2.60%, on NSE.

The government, on Monday, approved divestment in two state-run power utilities—NTPC and Satluj Jal Vidyut Nigam—as part of a conscious policy to unlock value and make the public part owners of the national assets.

The Cabinet Committee on Economic Affairs (CCEA) gave its approval to 5% stake sale in NTPC, after which the government’s holding in the power producer would come down to 84.5% from the current 89.5%.