Shares of NLC India fell 4.6 per cent in early trade on Tuesday after the government announced an offer-for-sale (OFS) to divest up to a 3 per cent stake in the company at a discount to the prevailing market price.
The stock fell to a low of ₹320 and was trading at ₹323.55 on the NSE at 10.24 am. The government has set a floor price of ₹303 per share for the OFS, implying a discount of 9.73 per cent to NLC India’s previous closing price of ₹335.65 on the BSE.
The . The government plans to sell a base stake of 2 per cent, with an additional 1 per cent green shoe option in case of oversubscription.
Department of Investment and Public Asset Management Secretary Arunish Chawla said on X that NLC India continues to offer a compelling long-term investment opportunity backed by strong operational and financial performance, consistent returns and attractive dividends.
Government of India announces OFS in NLC India Limited (Neyveli Lignite Corporation) with a base offer of 2% of its equity and an additional 1% Green Shoe Option in case of oversubscription. Floor price fixed at ₹303 per share. OFS opens for non-retail investors on 09 June 2026…
— Secretary, DIPAM (@SecyDIPAM)
The stake sale is part of the government’s broader disinvestment programme. So far in the current fiscal, government has raised ₹12,166 crore through minority stake sales in public sector companies, including Coal India, NHPC and Central Bank of India.
According to Virat Jagad, Sr. Technical Research Analyst at Bonanza, NLC India has witnessed a strong uptrend over the past two months, supported by a decisive breakout above the long-term ascending triangle pattern and sustained trading above all key moving averages.
On the technical front, the stock remains above its medium- and long-term moving averages, keeping the broader trend positive, but short-term momentum has weakened as RSI has slipped below 50 from overbought levels. “Immediate support is placed at 318 and 300, while a break below these levels could lead to further correction towards 285. On the upside, 340–350 remains a key resistance zone, and only a sustained move above this area can revive bullish momentum and open the door for a retest of the recent highs near 380,” Jagad said.