SJVN crashes by 9% as government launches OFS to sell 2.46% equity at heavy discount

Shares of SJVN tanked 9 percent in early trade on September 21 after the government launched an offer for sale (OFS) for up to 4.92-percent equity stake, at a deeply discounted floor price. At 10:24 am the SJVN stock was trading 9.05 percent lower at Rs 74.50 on NSE. The government announced an OFS to sell 9.67 crore equity shares, or 2.46 percent equity stake in SJVN, with an option to sell another 2.46 percent by retaining oversubscription. SJVN OFS opens for non-retail investors on September 21, and for retail investors on September 22.

The floor price of the offer is set at Rs 69 per share, which is at nearly 15 percent discount to the previous closing price.

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“Offer for sale in SJVN opens tomorrow for non-retail investors. Retail investors can bid on Friday. The government will divest 4.92 percent equity including a Green Shoe option of 2.46 percent,” DIPAM Secretary Tuhin Kanta Pandey posted on X. At the floor price of Rs 69 a share, the sale of 4.92 per cent stake — or over 9.66 crore shares — will fetch over Rs 650 crore.

Also Read: Govt to sell 4.92% in SJVN at Rs 69/share; OFS begins on Thursday

Stock Performance

SJVN stock has surged by 163.56 percent over the last six months. The benchmark Nifty50 index has given a return of 16.33 percent over the same duration.

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