Govt gets nearly Rs 6K cr from NMDC stake sale
Data available with the National Stock Exchange (NSE) revealed that against the offer for sale of 39,64,71,600 shares, the company received 68,69,17,300 bids. The indicative price was Rs 149.15 per share as against the floor price of Rs 147 apiece. Indicative price is the volume weighted average price of all the valid or confirmed bids. The shares would be distributed following the ‘price priority’ method. On Wednesday, shares of NMDC fell by 3.17 per cent to close at Rs 154.25 on the BSE and dipped by 3.23 per cent on the NSE to end at Rs 154.40.
The NMDC issue was the second largest disinvestment in this calendar year, following the messy auction of ONGC in March that saw technical glitches at the bourses and had to be bailed out by the Life Insurance Corporation and public sector banks. “Pricing is everything. Since the NMDC issue was priced attractively, it generated a good demand amongst investors and we hope to raise about Rs 6,000 crore,” a finance ministry official said.
With the floor price kept at a 7.7 per cent discount on Tuesday’s market rate, FIIs are understood to have bid for over 30 per cent of the shares on offer at an average price of Rs 150 per share. Meanwhile,
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