President of India-Backed PSU Announces OFS To Divest Up To 3% Stake

On Tuesday, Indian equity benchmarks traded lower in the morning session, with the benchmark Nifty 50 index declining 0.20 per cent to 23,336.60. PSU power stocks remained in focus after the Government of India announced an Offer for Sale (OFS) in NHPC Ltd. In this segment, NHPC share price traded at Rs 77.50 on June 2, 2026, down 2.15 per cent from the previous close.

NHPC Government Announces NHPC OFS

The Government of India, acting through the Ministry of Power, has launched an Offer for Sale (OFS) of NHPC equity shares through the stock exchange mechanism. The offer comprises a base issue size of up to 30,13,51,044 equity shares, representing 3.00 per cent of NHPC's total paid-up equity share capital.

The government has also retained an oversubscription option to sell up to an additional 15,06,75,522 shares, representing 1.50 per cent of the company's equity capital. If fully exercised, the total offer size could increase to 4.50 per cent of NHPC's paid-up capital.

NHPC OFS Opens On June 2

The OFS opened for non-retail investors on June 2, 2026, while retail investors and eligible employees can participate on June 3, 2026. The offer has been launched through the separate window mechanism provided by stock exchanges for OFS transactions.

The floor price for the offer has been fixed at Rs 71 per share. Retail investors will be eligible to bid at or above the floor price, while up to 10 per cent of the offer size has been reserved for retail investors.

In addition, up to 45,20,265 equity shares may be offered to eligible employees under the employee reservation portion of the OFS.

Government Remains Majority Shareholder

Prior to the OFS, the Government of India held approximately 67.40 per cent stake in NHPC. Through the Offer for Sale, the government is divesting up to 3.00 per cent of the company's equity capital, with an option to sell an additional 1.50 per cent stake in case of oversubscription. Even if the entire 4.50 per cent stake is sold, the Government of India will continue to hold around 62.90 per cent stake in NHPC, retaining its position as the promoter and majority shareholder of the company. 

ICICI Securities, IDBI Capital Markets & Securities, and SBI Capital Markets have been appointed as the broker entities for the OFS process.

About NHPC

NHPC Ltd is one of India's largest hydropower companies and a Government of India enterprise under the Ministry of Power. The company is engaged in the development, construction and operation of hydroelectric power projects and has diversified into solar and other renewable energy projects. NHPC operates power stations across multiple states and plays a key role in India's clean energy and power generation infrastructure.

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Disclaimer: The article is for informational purposes only and not investment advice.