By Manvi Pant

Nov 22 (Reuters) - NTPC Green Energy's $1.2 billion

initial public offering, India's third-largest in 2024, was

fully subscribed on the share sale's final day on Friday, as

investors bet on the country's growing clean energy needs.

About three-quarters of the 593.2 million shares offered

were set aside for institutional investors, and were 96%

subscribed. Bidding will end at 5 p.m. IST on the day.

The portion reserved for retail investors was oversubscribed

by 2.81 times as of 12:23 a.m. IST, after being fully subscribed

on the first day of bidding on Tuesday.

India has been scrambling to meet its clean energy targets

and has ramped up investments in renewable energy and expanded

capacity. As per Moody's Ratings, it has to spend $385 billion

by 2030 to meet its targets after it fell short in 2022.

Investors are also positive on the sector and are betting on

its IPO due to hefty long-term demand and support from its

stronger parent, state-owned power producer NTPC, said

Prashanth Tapse, Senior Vice President of Research at Mehta

Equities.

The company plans to sell all the shares in the IPO, with

existing shareholders not diluting their stake, draft papers

showed.

It set a price band of 102-108 rupees per share, with the

total size of the IPO trailing only Hyundai Motor India

and Swiggy this year. However, the IPO comes

at a time when Indian markets have cooled off from their earlier

frenzy due to underwhelming corporate earnings and an exodus of

foreign funds.

Still, more than 290 companies have raised more than $15

billion so far this year, roughly twice the amount raised in all

of 2023, LSEG data showed.

Trading is expected to begin on Nov. 27 but is yet to be

confirmed.