NTPC Green Energy’s Upcoming IPO
NTPC Green Energy, a subsidiary of NTPC, is set to raise Rs 10,000 crore through an initial public offering (IPO) after receiving approval from the Securities and Exchange Board of India (SEBI). An IPO allows companies to sell shares to the public to gather funds from investors. NTPC Green Energy filed its IPO papers on September 18, and the offering will be a fresh issue of shares.
The IPO includes a special reservation for eligible employees, who will receive a discount when bidding in the employee reservation portion. The company plans to use Rs 7,500 crore from the fresh issue to invest in its subsidiary, NTPC Renewable Energy (NREL), for repayment or prepayment, and for other corporate purposes.
NTPC Green Energy’s Renewable Portfolio
NTPC Green Energy is a major player in the renewable energy sector, excluding hydro, with a significant operating capacity and power generation. As of June 30, 2024, the company had a portfolio of 14,696 MWs, including 2,925 MWs of operating projects and 11,771 MWs of contracted and awarded projects. Additionally, it has 10,975 MWs of capacity in the pipeline, totaling 25,671 MWs.
Doubts Revealed
NTPC -: NTPC stands for National Thermal Power Corporation. It is a large company in India that produces electricity.
Green Energy -: Green Energy refers to energy that comes from natural sources like the sun, wind, or water, which are renewable and do not harm the environment.
IPO -: IPO stands for Initial Public Offering. It is when a company sells its shares to the public for the first time to raise money.
SEBI -: SEBI stands for Securities and Exchange Board of India. It is an organization that regulates the stock market in India to protect investors.
MW -: MW stands for Megawatt, which is a unit of power. It is used to measure how much electricity a power plant can produce.
Subsidiary -: A subsidiary is a company that is controlled by another company. In this case, NTPC Green Energy is controlled by NTPC.
