NHPC share price came under selling pressure in early trade today after the government announced an Offer for Sale (OFS) to dilute its stake in the state-owned hydropower company. The share price of the company plunged more than 5% in the intraday trade today.
The development has put the stock firmly in focus, with both institutional and retail investors closely watching the share sale process and its impact on NHPC’s market performance.
The stock is in the spotlight after the government’s decision to sell up to a 6% stake in the company through the OFS route. The floor price has been fixed at Rs 71 per share, which is around 8% lower than the stock’s closing price on Monday.
OFS opens today; Retail investors get their turn tomorrow
The share sale process begins on June 2 for non-retail investors, while retail investors will be able to place their bids on June 3.
The government is initially offering a 3% stake in NHPC. However, it has also retained an option to sell an additional 3% stake if investor demand remains strong. If the entire 6% stake is sold, the transaction could fetch around Rs 4,200 crore for the government.
The floor price of Rs 71 will act as the minimum bid price for all investors participating in the OFS. Retail investors will be allowed to bid for shares worth up to Rs 2 lakh under the retail category.
A key step in the government fund-raising plan
The NHPC OFS is the latest move in the government’s disinvestment programme for FY27. It comes shortly after stake sales in Coal India and Central Bank of India, both of which helped the Centre raise funds through the market.
NHPC financial performance
NHPC delivered a strong performance in Q4FY26, with standalone net profit jumping 71% year-on-year to Rs 1,460 crore. NHPC reported a net profit of Rs 3,689 crore for FY26, up nearly 25% from the previous year, while annual revenue climbed to Rs 11,615 crore.
Apart from this, the board has also recommended a final dividend of Rs 0.21 per share. This takes the company’s total dividend payout for FY26 to Rs 1.61 per share.
NHPC share performance
NHPC share has declined more than 6% over the last five trading sessions, while extending its losses to nearly 11% over the past one month.
The longer-term performance has also been weak. Over the past year, NHPC shares have delivered a negative return of around 15%.
So far in 2026, the stock has fallen more than 6%.