Reliance Power says to list on Feb 11

MUMBAI: Reliance Power Ltd, which raised a record $3 billion in an initial public offer last month, said on Monday it would list on the stock exchanges on February11, subject to regulatory approvals.

The company, which had attracted bids worth $190 billion, priced its offer at the higher end of Rs 450a share. It had offered 228 million shares to the public while another 32 million were bought by founders, also at Rs 450 a share.

The shares would be listed on the Bombay Stock Exchange and National Stock Exchange, the firm said. Reliance Power plans to build power plants across India using funds raised by selling the 10.1 per cent stake in the firm, which is 50 per cent owned by utility Reliance Energy Ltd .

India suffers a huge power shortage with over 400 million of its billion plus people having no access to electricity, according to the United Nations Human Development report.

Analysts say Reliance Power's IPO sucked liquidity out of the market, contributing to a drop of 13 per cent in the main BSE index in January. Indian companies are expected to raise $15.8 billion from 35 IPOs this year, almost twice as much as the record $8.3 billion in 2007, according to data from Thomson Financial.

But last week, property developer Emaar MGF Land and healthcare services company Wockhardt Hospitals Ltd lowered their price bands for forthcoming offers due to volatility in the Indian markets.