Hydropower generator Satluj Jal Vidyut Nigam Limited (SJVN) is coming out with an initial public offering (IPO) of 41.5 crore equity shares on April 29, 2010. The offer will close on May 3, 2010.
The offer comprises a net offer to the public of 411,650,000 equity shares and a reservation of 3,350,000 equity shares for purchase by eligible employees at the offer price. The offer shall constitute 10.03% of the paid-up equity capital of company.
The shareholding stake of President of India, acting through the Ministry of Power, Government of India will be reduced to 64.47% from 74.50% post issue. The Governor, State of Himachal Pradesh holds 25.50% stake in the company.
The purpose of the offer is to achieve the benefits of listing on the stock exchanges and company will not receive any proceeds from the offer.
Read: Satluj Jal Vidyut Nigam Limited IPO Analysis & Ratings
It is a hydroelectric power generation company originally established as a joint venture between the Government and the state government of Himachal Pradesh to develop and operate the NJHPS. Based on information published by the CEA, the NJHPS is currently the largest operational hydroelectric power generation facility in India based on installed capacity, with an aggregate generation capacity of 1,500 MW, and is located on the Sutlej River in the state of Himachal Pradesh.
For the period of nine months ended of December 2009, it has reported net profit of Rs 775.37 crore on total income of Rs 1,510 crore; it has debt of Rs 1,769.90 crore on its books.
