State-run National Hydroelectric Power Corporation, which filed a draft prospectus for its initial public offer with market regulator SEBI in April on Thursday said it is awaiting government approval to appoint independent directors before it can go ahead with the issue.
"We will launch the IPO by the end of last quarter of 2008 fiscal, subject to the appointment of independent directors by the government," NHPC Chairman and Managing Director S K Garg told reporters here.
As per regulatory requirements, NHPC must have seven independent directors on its board. It currently has only government nominees and functional directors on its board.
NHPC has a mandate to sell up to 24 per cent stake. In the first phase, it proposed to offer 10 per cent to the public and an additional 5 per cent disinvestment of government stake, he said after launching an enterprise resource planning (ERP) project for the company.
Post-IPO, government stake in the country's largest hydroelectric power generating company would come down to about 86 per cent. At face value, the company expects to mop up around Rs 1,700 crore from the market.
The company, presently wholly-owned by the government, filed draft documents for its IPO with SEBI in April this year. The IPO proposed to include over 111 crore fresh equity shares and offer for sale of more than 55 crore shares.
The government had in December last year approved the IPO plans of NHPC and Rural Electrification Corp (REC).
Earlier today, NHPC launched the implementation of ERP solution, titled 'Project Kiran'. IFS Solutions India has provided the ERP package to NHPC.
"We will launch the IPO by the end of last quarter of 2008 fiscal, subject to the appointment of independent directors by the government," NHPC Chairman and Managing Director S K Garg told reporters here.
As per regulatory requirements, NHPC must have seven independent directors on its board. It currently has only government nominees and functional directors on its board.
NHPC has a mandate to sell up to 24 per cent stake. In the first phase, it proposed to offer 10 per cent to the public and an additional 5 per cent disinvestment of government stake, he said after launching an enterprise resource planning (ERP) project for the company.
Post-IPO, government stake in the country's largest hydroelectric power generating company would come down to about 86 per cent. At face value, the company expects to mop up around Rs 1,700 crore from the market.
The company, presently wholly-owned by the government, filed draft documents for its IPO with SEBI in April this year. The IPO proposed to include over 111 crore fresh equity shares and offer for sale of more than 55 crore shares.
The government had in December last year approved the IPO plans of NHPC and Rural Electrification Corp (REC).
Earlier today, NHPC launched the implementation of ERP solution, titled 'Project Kiran'. IFS Solutions India has provided the ERP package to NHPC.
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