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NBCC’s IPO to hit capital market on March 22: Additional Divestment Secretary

07 Mar 2012 Evaluate

Inching step by step towards achieving the Rs 40,000 crore divestment target, government has decided to open the initial public offer (IPO) of National Buildings Construction Corporation (NBCC) from March 22, 2012 to March 25, 2012 as per the additional divestment secretary. NBCC had filed draft red herring prospectus with the market regulator Securities Exchange Board of India (SEBI) for the IPO whose price band will be decided at an EGoM on March 19, 2012. This will be the last public offer for the current fiscal ending March 31.

The company plans to issue 12,000,000 equity shares having face value of Rs 10 each thus divest 10% of government’s stake. The issue proceeds will accordingly be taken by the government. IDBI Capital Market Services and Enam Securities are the book running lead managers and Bigshare Services is the registrar to the offer.

The ISO 9001:2008 certified company is one of the few Public Sector Unit (PSU) engaged in business of project management consultancy services for civil construction projects, civil infrastructure for power sector and real estate development. Incorporated in November 1960, NBCC is headquartered in New Delhi having projects web spread across 23 states and 1 union territory in India. In addition, the company has also undertaken projects overseas.

NBCC presently operates under Ministry of Urban Development and has also received ‘Excellent’ rating from the same for each of the fiscal years from 2004 to 2010. Ministry of Heavy Industries & Public Enterprises has awarded the company with an ‘Excellence Award.’

NBCC (India) Share Price

100.61 3.83 (3.96%)
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