IPOs of NHPC, OIL by October 2008

The Oil India Ltd(OIL) will offer 10 per cent of its equity to the public through a fresh issue of shares and it hopes to garner around Rs.2,000 crores from the IPO. The OIL has also plans to sell one per cent of the to its employees, media reports says. NHPC plans to sell 10 per cent of its equity through fresh shares and hope to get valuation of Rs. 16,000 crore.

The media reports also read as the government begins to take advantage of the end of its association with the Left parties and push its disinvestment agenda. The government had planned to divest part of its stake in public sector companies to raise funds for various social programmes. Both OIL and NHPC have the number of independent directors required under Clause 49 of the Listing Agreement with the stock exchange.