NTPC Green Energy Hits 52-Week Low As Lock-In Period Ends After 3-Months

NTPC Green Energy Ltd's share price declined by nearly 8 per cent during the intraday trade session of February 24, on NSE hitting its 52-week low at Rs 96.20. The 3-month lock-in period of NTPC Green ended on Monday, February 24 possibly triggering an offloading of shares by its stakeholders.

Presently NTPC owns 89 per cent shares in NTPC Green Energy, after having divested its stake during the company's Initial Public Offer (IPO). Around 18.3 crore shares, i.e. 2 per cent of overall shares became available for sale after a period of 3 months lock-in period.

What is the Lock-in Period?

The lock-in period for an IPO is a fixed timeline when key stakeholders including company insiders, promoters, early investors, and anchor investors who invested before listing can't sell their stakes after the company goes public. It's also called the IPO lockup period.

The lock-in period is usually implemented to prevent a sudden influx of shares into the market, which could lead to volatility. It is also supposed to stabilise the share price during the initial days of trading.

NTPC Green Energy Share Price History

NTPC Green Energy was closed in the red, down 6.11 per cent, at Rs 99.10, on February 24. The green energy company enjoys a market capitalisation of Rs 82,957.22 crore. Currently, the stock is down 36 per cent from its 52–week high of Rs 155.3. Notably, the stock touched its 52-week high on December 4, 2024, on the NSE. NTPC Green Energy marked its debut listing at Rs 111.5 on both the BSE and NSE, indicating a 3.2 per cent premium over its IPO price band of Rs 108.

NTPC Green Energy Financial Result

NTPC Green Energy recorded an 18 per cent year-on-year (YoY) increase in consolidated profit after tax (PAT) to Rs 65.61 crore during the third quarter of the financial year 2024-25, compared to Rs 55.61 crore in the same period last year.

Revenue from operations increased by 13.2 per cent to Rs 505.08 crore in Q3 FY25, up from Rs 446.14 crore in the corresponding quarter of the previous financial year.

Other Lock-in Period Ending Till February 2025

February is expected to see the end of various companies’ lock-in period.  NTPC Green Energy’s lock-in period ended on February 24th (18.3 crore shares, 2 per cent of total shareholding), and Interarch Building Products on the same date (0.7 crore shares, 40 per cent of total shareholding). Additionally, Denta Water and Infra (0.1 crore shares, 4 per cent of total shareholding), Enviro Infra Engineers (0.7 crore shares, 37 per cent of total shareholding), and Saraswati Saree Depot (2.2 crore shares, 55 per cent of total shareholding) will have their lock-ins lifted on February 27, followed by Premier Energies on February 28 (10.6 crore shares, 23 per cent of total shareholding), as per Nuvama Alternative & Quantitative Research.