Nalco stake sale commences on bourses, scrip tanks 8%
The floor or the minimum offer price for Nalco's share sale has been set at Rs 40 apiece, which was a 10 per cent discount to yesterday's close of Rs 44.65.
On the BSE, Nalco scrip hit a low of Rs 44.50, down 8.36 per cent over previous close, soon after the start of market hours. It continued to trade in the range of Rs 40.55-41.90 in the early hours, higher than the base price.
At the floor price of Rs 40, a 10 per cent stake sale in Nalco could garner around Rs 1,031 crore to the exchequer.
The Empowered Group of Ministers (EGoM) on disinvestment, headed by Finance Minister P Chidambaram, had on Wednesday cleared stake sale of 25.77 crore shares, or up to 10 per cent, in Nalco through the Offer For Sale (OFS).
The government is selling 5 per cent stake, with an option to retain another 5 per cent of the over-subscription.
The number of shares on offer is lower than what the Cabinet Committee on Economic Affairs (CCEA) had approved for in September last year. The CCEA had cleared a 12.5 per cent stake sale in the Navratna PSU.
The Department of Disinvestment (DoD) has held roadshows in Singapore, Hong Kong, Japan, the US and the UK last month for
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