Although not officially stated, the government is expecting a price of around Rs 250 to 260 for Concor equity. If all goes well, the government may net about Rs 250 crore as another one million shares are proposed to be offered to retail investors later.

Announcing the launch of the Concor issue on Saturday, finance minister Yashwant Sinha reiterated that there would be no GDR issue and that shares would be offloaded only in the domestic market.

He added that as decided earlier all the shares of government equity would be divested locally at market-determined prices.

He said the Concor issue was also expected to start the revival of capital market.

Stating that the government was confident of realising the disinvestment target of Rs 5,000 crore fixed for this year, Sinha indicated that Gas Authority of India would be the next inthe list, followed by Indian Oil Corporation (IOC) and Videsh Sanchar Nigam Limited (VSNL).

He said domestic institutional investors and foreign institutional investors (FIIs) registered in the country would be allowed to participate in the issue.

The disinvestment process will be through the book-building method and the allotment of shares will depend on demand and price, he added.

The government, he said, would also offer one million shares to retail investors at a discount to the market price.