Mumbai, Sep 21 (IANS): The 4.92 per cent stake in government-owned power major SJVN that is being offered for sale in the stock market was oversubscribed on Thursday with institutional investors bidding for over 20.91 crore shares against 8.70 crore shares that were put on block for them.  

"Offer for Sale in SJVN received enthusiastic response from non-retail investors today. The issue was subscribed 2.4 times of the base size. Govt has decided to exercise the green shoe option," Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kanta Pandey posted on X.

At the indicative price of Rs 69.64 per share, the bids are cumulatively valued at over Rs 1,450 crore.

The share-sale will open for subscription on Friday for retail investors, who are eligible for an additional discount over the floor price.

Shares of SJVN fell 13.05 per cent to close at Rs 71.08 apiece on the BSE.

The government is selling up to 19.33 crore shares or 4.92 per cent stake at a floor price of Rs 69 per share.

The issue includes an option for the sale of an additional 9.66 crore shares which works out to a 2.46 per cent stake.