The shares of NTPC Limited climbed 3.55 per cent on Friday’s early trades to reach a fresh 52-week high of ₹ 166.40 apiece.
The company’s shares were among the top gainers on Sensex amid reports that ArcelorMittal, Brookfield and Canada Pension Plan Investment Board were some of the entities that expressed interest to purchase a stake in the firm’s green energy arm — NTPC Green Energy (NGEL).
The sentiment around the stock was upbeat as the state-run electricity generator plans to raise ₹12,000 crores. The shareholders of the company have agreed to raise funds through the issue of non-convertible debentures on a private placement basis for capital expenditure, working capital and general corporate purposes.
The company invited expression of interest (EoI) for a stake sale of 5 to 10 per cent in NGEL in June, this year. The thermal power mammoth plans to raise up to ₹ 2,000 crores by selling this stake. This is a part of the asset monetisation target of NTPC, which is pegged at Rs 15,000 crore, for three years.
The company is aiming at reaching a 60 gigawatt (GW) renewable capacity by 2032, and the capital raise will help it to get growth capital and pursue its capacity expansion plans. Moreover, it plans to enhance its current presence in consultancy services, power trading, and ancillary services. It has targeted a 25 per cent market share in ancillary services and storage by 2032 under its long-term plan.
NTPC plans to make a foray into the Hydrogen Economy and production of Green Chemicals (Methanol & Ammonia)supported by research & development and collaboration with OEM/OES, research institutes, and so on.
NTPC is also planning to pare its stake in two companies – NTPC Vidyut Vyapar Nigam Ltd (NVVN), the power trading arm and North Eastern Electric Power Corporation Ltd (NEEPCO).
The shares surpassed their previous 52-week high that they had reached on April 19, 2022. In the past six months, NTPC has outperformed the market by gaining 25 per cent as against a six per cent rise in the BSE Sensex.
They reached their all-time high of ₹ 2914 apiece on January 15, 2008, and their all-time low of ₹ 68 on November 05, 2004. Further, their 52-week low is at ₹ 112.35 apiece and it was touched on September 08, 2021.
Written by Simran Bafna
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