NTPC Green Energy, the renewable energy subsidiary of NTPC, is preparing to file for an initial public offering (IPO), with plans to raise ₹10,000 crore. This move is aimed at unlocking significant value for the company, sources told CNBC-TV18.
NTPC’s management had previously indicated that they plan to list NTPC Green Energy by the end of 2024. Speaking to CNBC-TV18 earlier, Mohit Bhargava, CEO of NTPC Green Energy, explained that the IPO is driven by the need for additional equity to support the company’s growth. “We will need to raise equity either through internal sources or the markets, so we believe we’ll need to approach the market eventually,” Bhargava said.
NTPC has planned capital expenditures of approximately ₹10,000 crore for renewable energy in 2024, with a further ₹15,000-20,000 crore expected in 2025. Typically, 20-25% of this investment comes from equity.
Earlier reports from Moneycontrol suggested that NTPC had shortlisted investment bankers to manage the ₹10,000 crore IPO for NTPC Green Energy. The funds raised will be used to support ongoing and upcoming projects in solar energy, green hydrogen, and green ammonia.
With a projected size of ₹10,000 crore, the its IPO will be the largest public sector share sale since Life Insurance Corporation’s ₹21,000 crore offering in May 2022. NTPC Green Energy Limited (NGEL) is a subsidiary of NTPC Limited, India’s largest energy conglomerate, focused on accelerating the country’s transition to renewable energy.
As a key player in India’s green energy sector, NTPC Green Energy is committed to expanding its portfolio of renewable energy projects, including solar, wind, and hybrid energy solutions. The company plays a pivotal role in helping India achieve its ambitious target of 500 GW of renewable energy by 2030. With large-scale solar parks, wind farms, and green hydrogen initiatives, NTPC Green Energy aims to provide clean, affordable, and reliable energy solutions.
By leveraging its expertise in energy infrastructure and sustainable practices, NTPC Green Energy is positioning itself at the forefront of India’s green energy revolution, contributing significantly to the nation’s carbon reduction goals and energy security.
