State-run Power Grid Corporation of India Ltd's follow-on-public offer (FPO) was subscribed 69 per cent on the first day, newly released data showed.

Power Grid offered 78.70 crore shares at a price of Rs 85-90 apiece, and received bids for 54.32 crore of them. Nearly 72.98 lakh bids were received at the issue's cut off price.

The corporation is offloading 17 per cent government stake, which could fetch nearly Rs 7,083 crore at the upper end of Rs 85-90 price band. The corporation may pocket around Rs 5,717 crore, while the government may garner nearly Rs 1,758 crore.

Nearly 2.4 per cent of the fresh shares have been reserved for employees of the Power Grid.

Following the stake sale, the government's holding in Power Grid will slip from current level of 69.42 per cent to 57.89 per cent.

Citigroup, SBI Caps, ICICI Securities, Kotak Mahindra and UBS are acting as merchant bankers for the FPO, which will remain open till 5th of December for institutional buyers and 6th of December for retail investors.

Power Grid shares gained 0.37 per cent to close Tuesday's trading at Rs 93.75 on the Bombay Stock Exchange (BSE).