NHPC Share Price Fall Over 5% as Government Launches OFS to Sell Up to 6% Stake

The Government of India has announced an Offer for Sale (OFS) in NHPC Limited to divest up to 6% stake, aiming to raise around ₹4,200 crore.  

NHPC share price declined over 5% in the morning trading session on June 2, 2026, following the government's OFS announcement. 

NHPC Limited OFS Details 

The Government has opened an Offer for Sale (OFS) in NHPC Limited comprising a base offer of up to 3% equity, along with a green-shoe option of an additional 3% in case of strong investor demand. 

The floor price for the OFS has been fixed at ₹71 per share, which is around 8% lower than the company’s previous closing price. The OFS opens for non-retail investors on June 2, while retail investors can participate on June 3. 

According to the Department of Investment and Public Asset Management (DIPAM), the sale of over 60.27 crore shares at the floor price could generate approximately ₹4,200 crore for the exchequer. 

NHPC Limited OFS Subscription Structure 

Retail investors are allowed to bid up to ₹2 lakh in the OFS and are typically offered shares at a discount to the cut-off price.  

Around 10% of the issue is reserved for retail participants, improving accessibility for smaller investors. 

Government Divestment Strategy and Recent OFS Activity 

The stake sale in NHPC Limited is part of the government’s broader divestment and asset monetisation strategy aimed at raising funds while improving efficiency in public sector enterprises. 

In the Union Budget for FY27, the government set a divestment and asset monetisation target of ₹800 billion. Recently, the Centre sold stakes in other PSUs including Central Bank of India (8.08%) and Coal India (2%) through OFS transactions. 

With the NHPC transaction, total disinvestment proceeds in FY27 have reached approximately ₹7,808 crore so far. 

Read More: NHPC Raises ₹2,000 Crore Through 15-Year Bonds at 7.67% Coupon; Issue Draws ₹8,700 Crore Bids 

NHPC Share Price Performance 

As of June 2, 2026, at 11:00 AM, NHPC share price was trading at ₹73.23, down 5.13% compared to its previous closing price.  

The company’s market capitalisation stood at ₹73,559.79 crore.  Additionally, the company's shares have delivered a negative return of around 16% in the past one year. 

Conclusion 

The OFS in NHPC Limited reflects the government's continued focus on divestment and resource mobilisation while expanding public participation in PSU equities. As a Navratna PSU under the Ministry of Power, NHPC plays a significant role in India's hydroelectric and renewable energy landscape, with a growing portfolio of clean energy assets across the country. 

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