State-run transmission utility Power Grid Corporation posted a 10 per cent increase in its net profit in the September quarter at Rs 1,239 crore against Rs 1,126 crore a year ago. Total income stood at Rs 4,104 crore, registering 27 per cent growth, compared to Rs 3,243 crore a year ago.
Currently, PowerGrid is operating more than 1,02,100 circuit km of transmission lines along with 172 sub-stations and transformation capacity of around 1,72,370 MVA with an inter-regional power transmission capacity of about 31,850 mw.
Meanwhile, the company said on Thursday that it expects to launch the follow on public offer (FPO) anytime next month. According to PowerGrid, the government could get about Rs 1,900 crore from the process, while the company will garner about Rs 6,000 crore from the sale of fresh equities.
The company plans to sell 17 per cent equity, through the follow-on public offer route, out of which the government share will be around 4 per cent and the rest 13 per cent will be fresh issue of equity shares to the extent of 13 per cent of the pre-issue equity capital worth around Rs 6,000 crore, the company said.
‘We have completed all the necessary procedures from our side and can launch it as soon as possible. But we are awaiting the approval from the Cabinet Committee on Economic Affairs (CCEA),’ Chairman and Managing Director R N Nayak told reporters.
Another official said, ‘We are expecting the approval soon. We can even float the FPO in November.’
The Navratna company has proposed to issue fresh 60.18 crore shares, or 13 per cent of the current equity base, through the follow-on public offer, while the government proposes to dilute its 18.51 crore shares or 4 per cent stake out of its current 69.42 per cent holding, as part of its Rs 44,000 crore divestment programme, out of which it could so far raise a little over Rs 1,100 crore.
After the follow-on public offer, the government stake in the company will reduce to 57.89 per cent, Nayak said. ICICI Securities, SBI Capital, Citi, UBS and Kotak Securities are managing the sale.
This will be the second follow-on offer from Power Grid Corporation Ltd (PGCL), which sold 10 per cent with a similar stake divested by the government in November 2010 at an issue price of Rs 90 a share. The company hit the capital markets with its initial public offer in October 2007.
Meanwhile, the Inter-Ministerial panel on coal blocks on Thursday reviewed the performance of 16 mines alloted to firms including JSPL, NTPC, SAIL, Abhijeet Infrastructure and Tata Power. However, no decision was taken on the coal blocks, said a source. ‘The allocatees of 16 coal blocks made presentations before the Inter-Ministerial Group (IMG). However no decision was taken on Thursday,” the source said.
IMG will meet again on Friday for the third day and review the performance of another 14 mines alloted to firms including JSPL, Monnet Ispat & Energy, Birla Corp and Rathi Udyog, he said.
Currently, PowerGrid is operating more than 1,02,100 circuit km of transmission lines along with 172 sub-stations and transformation capacity of around 1,72,370 MVA with an inter-regional power transmission capacity of about 31,850 mw.
Meanwhile, the company said on Thursday that it expects to launch the follow on public offer (FPO) anytime next month. According to PowerGrid, the government could get about Rs 1,900 crore from the process, while the company will garner about Rs 6,000 crore from the sale of fresh equities.
The company plans to sell 17 per cent equity, through the follow-on public offer route, out of which the government share will be around 4 per cent and the rest 13 per cent will be fresh issue of equity shares to the extent of 13 per cent of the pre-issue equity capital worth around Rs 6,000 crore, the company said.
‘We have completed all the necessary procedures from our side and can launch it as soon as possible. But we are awaiting the approval from the Cabinet Committee on Economic Affairs (CCEA),’ Chairman and Managing Director R N Nayak told reporters.
Another official said, ‘We are expecting the approval soon. We can even float the FPO in November.’
The Navratna company has proposed to issue fresh 60.18 crore shares, or 13 per cent of the current equity base, through the follow-on public offer, while the government proposes to dilute its 18.51 crore shares or 4 per cent stake out of its current 69.42 per cent holding, as part of its Rs 44,000 crore divestment programme, out of which it could so far raise a little over Rs 1,100 crore.
After the follow-on public offer, the government stake in the company will reduce to 57.89 per cent, Nayak said. ICICI Securities, SBI Capital, Citi, UBS and Kotak Securities are managing the sale.
This will be the second follow-on offer from Power Grid Corporation Ltd (PGCL), which sold 10 per cent with a similar stake divested by the government in November 2010 at an issue price of Rs 90 a share. The company hit the capital markets with its initial public offer in October 2007.
Meanwhile, the Inter-Ministerial panel on coal blocks on Thursday reviewed the performance of 16 mines alloted to firms including JSPL, NTPC, SAIL, Abhijeet Infrastructure and Tata Power. However, no decision was taken on the coal blocks, said a source. ‘The allocatees of 16 coal blocks made presentations before the Inter-Ministerial Group (IMG). However no decision was taken on Thursday,” the source said.
IMG will meet again on Friday for the third day and review the performance of another 14 mines alloted to firms including JSPL, Monnet Ispat & Energy, Birla Corp and Rathi Udyog, he said.