<p>Ahead of the NTPC share sale expected this fiscal year, the Government on Monday said it will re-allocate, India’s largest power generation company, its three coal blocks, which were taken back in 2011 due to a delay in developing them.<br /><br /> The coal blocks may be re-allocated by Tuesday after the law ministry gives its approval, Power Minister Jyotiraditya Scindia told reporters here. His assurance came after Scindia and Coal Minister Sriprakash Jaiswal met Finance Minister P Chidambaram on the issue of de-allocation.<br /><br />The three coal blocks likely to be reallocated to NTPC are -- Chatti-Bariatu, Kerandari and Chatti-Bariatu (South).<br /><br /> Government wants to sell 9.5 per cent of its stake in the power behemoth, which is expected to raise Rs 12,000 crore, necessary to bridge the burgeoning fiscal deficit and reach the disinvestment target of Rs 30,000 crore this year.<br /><br /> Re-allocation of the coal blocks would boost the overall market valuation of NTPC, whose shares closed Rs 161.75, down 1.46 per cent on Monday. <br /><br /> The government holds 84.5 per cent stake in the NTPC. Post-disinvestment, its stake would come down to 75 per cent. Reallocation of the coal blocks would boost the overall market valuation of NTPC, which is grappling with fuel shortages. </p>.<p>Better share prices, during disinvestment, would in turn help in fetching higher returns for the government, which is hard-pressed for resources.<br /><br /> Sources said, the government has shortlisted six banks, including Goldman Sachs, Citigroup and Morgan Stanley, for a sell down of state shares in the power producer.<br /><br />The government is also looking to offload some of its stakes in the Steel Authority of India Ltd, NALCO and Bharat Heavy Electricals Ltd over the next few months, but has not set a timeline as yet.<br /><br />Prime Minister Manmohan Singh said last month India would speed up the sales to revive the stock market and would push ahead with reforms aimed at spurring an investment recovery in the flagging economy.<br /><br />21.8 per cent profit jump<br /><br />NTPC on Monday reported nearly 22 per cent jump in net profit at Rs 2,596.76 crore in the third quarter ended December, 2012. NTPC had posted net profit of Rs 2,130.39 crore in the same period a year ago.<br />In a filing to Bombay Stock Exchange, the company said its total income in the third quarter of the current fiscal rose to Rs 16,529.55 crore from Rs 16,244.41 crore in the three months ended December, 2011.</p>
<p>Ahead of the NTPC share sale expected this fiscal year, the Government on Monday said it will re-allocate, India’s largest power generation company, its three coal blocks, which were taken back in 2011 due to a delay in developing them.<br /><br /> The coal blocks may be re-allocated by Tuesday after the law ministry gives its approval, Power Minister Jyotiraditya Scindia told reporters here. His assurance came after Scindia and Coal Minister Sriprakash Jaiswal met Finance Minister P Chidambaram on the issue of de-allocation.<br /><br />The three coal blocks likely to be reallocated to NTPC are -- Chatti-Bariatu, Kerandari and Chatti-Bariatu (South).<br /><br /> Government wants to sell 9.5 per cent of its stake in the power behemoth, which is expected to raise Rs 12,000 crore, necessary to bridge the burgeoning fiscal deficit and reach the disinvestment target of Rs 30,000 crore this year.<br /><br /> Re-allocation of the coal blocks would boost the overall market valuation of NTPC, whose shares closed Rs 161.75, down 1.46 per cent on Monday. <br /><br /> The government holds 84.5 per cent stake in the NTPC. Post-disinvestment, its stake would come down to 75 per cent. Reallocation of the coal blocks would boost the overall market valuation of NTPC, which is grappling with fuel shortages. </p>.<p>Better share prices, during disinvestment, would in turn help in fetching higher returns for the government, which is hard-pressed for resources.<br /><br /> Sources said, the government has shortlisted six banks, including Goldman Sachs, Citigroup and Morgan Stanley, for a sell down of state shares in the power producer.<br /><br />The government is also looking to offload some of its stakes in the Steel Authority of India Ltd, NALCO and Bharat Heavy Electricals Ltd over the next few months, but has not set a timeline as yet.<br /><br />Prime Minister Manmohan Singh said last month India would speed up the sales to revive the stock market and would push ahead with reforms aimed at spurring an investment recovery in the flagging economy.<br /><br />21.8 per cent profit jump<br /><br />NTPC on Monday reported nearly 22 per cent jump in net profit at Rs 2,596.76 crore in the third quarter ended December, 2012. NTPC had posted net profit of Rs 2,130.39 crore in the same period a year ago.<br />In a filing to Bombay Stock Exchange, the company said its total income in the third quarter of the current fiscal rose to Rs 16,529.55 crore from Rs 16,244.41 crore in the three months ended December, 2011.</p>