NTPC Ltd. is gearing up to list its renewable energy arm, NTPC Green Energy Ltd. (NGEL), by October or November this year, according to Director Jaikumar Srinivasan. Despite the IPO, NTPC will maintain its role as the holding company for NGEL.
“We are going ahead with IPO plans,” stated Srinivasan during the company’s post-earnings call. “This would be tentatively around October or November.” The company plans to commence Draft Red Herring Prospectus (DRHP) activities post-June, which will involve filing and other due diligence processes.
Earlier this year, sources cited by PTI reported that NTPC had received approval from the Department of Investment and Public Asset Management to list NGEL, aiming to raise up to ₹10,000 crore. Addressing concerns about the timing of the listing amidst slow renewable commissioning due to land and modular availability issues, Srinivasan expressed confidence in the company’s strategy. “We don’t think that it would be any kind of rush because we are going as per our plan and our conviction,” he said.
He highlighted the significant potential in NTPC’s renewable energy ventures. “There is immense value capturing that we foresee, given the visibility of almost 22 gigawatts, which I was sharing with you, and the plans for going ahead and reaching 60 gigawatts by fiscal 2032,” Srinivasan explained.
The listing is part of NTPC’s broader strategy to bolster its renewable energy portfolio. As the company moves towards its ambitious goal of 60 gigawatts of renewable energy capacity by 2032, the IPO will help fuel its expansion plans.
When asked about potential structural changes following the IPO, Srinivasan confirmed that NTPC will remain the holding company. This assurance aims to maintain stability and continuity within the company’s structure while it expands its renewable energy footprint.
NTPC Green Energy Ltd. has been at the forefront of NTPC’s push into renewable energy, reflecting the company’s commitment to diversifying its energy mix and contributing to India’s renewable energy targets. The planned IPO marks a significant milestone in this journey, promising to enhance the company’s financial flexibility and support its long-term growth ambitions.