The government of Rajasthan and the state-run power giant NTPC have inked a Memorandum of Understanding (MoU) for the construction of 25 GW of renewable energy projects in the state, according to NGEL, a fully owned subsidiary of NTPC.
The business stated in a regulatory filing that the Chief Minister of Rajasthan was present when the Memorandum of Understanding was signed by Alok, (IAS) ACS (Energy) and KS Sundaram, Director (Projects), NGEL. On this occasion, senior representatives from NGEL and the Government of Rajasthan were also in attendance.
In order to initiate an initial public offering (IPO) of Rs 10,000 crore, NTPC Green Energy submitted a draft red herring prospectus (DRHP) with SEBI earlier this month. The initial public offering (IPO) will probably be followed by a later, suitable offer for sale. With the planned offering of the latter, NTPC is hoping to profit from the simultaneous surge in the parent company’s valuation as well as that of the green arm.
Earlier, in a chat with FinancialExpress, NTPC Chairman and Managing Director Gurdeep Singh had remarked that the IPO of its totally owned green subsidiary will improve the worth of the parent firm. “We can raise money with ease, and our financial sheet is quite strong and healthy. But as a stated goal, we’ll aim for 10% (offer) initially, then 15% through OFS (Offer for Sale),” he had previously remarked.
