REC FPO likely in mid February

Rural Electrification Corporation Limited (REC), a listed Government of India Public Sector Enterprise, is coming up with an Follow-on Public Offer (FPO), which is likely to hit markets in the second or third week of February, 2010

The Company had earlier filed a Draft Red Herring Prospectus (DRHP) with Securities and Exchange Board of India (SEBI) for Follow-on Public Offer (FPO) of 171,732,000 equity shares of Rs 10 each, constituting 20% of existing paid-up capital

The FPO would consist of a fresh issue of 128,799,000 equity shares by the company and an offer for sale of 42,933,000 equity shares by the President of India, acting through the Ministry of Power, Government of India

REC provides financial assistance to State Electricity Boards, State Government Departments and Rural Electric Cooperatives for rural electrification projects as are sponsored by them. REC also provides loan assistance to SEBs/State Power Utilities for investments in rural electrification schemes

Check back Indian IPO Blog regularly for precise Opening and Closing Dates, Price Band, Bid Lot and latest updates on Rural Electrification Corporation Limited (REC)  FPO!