Nalco to hit market after budget; to raise Rs 1,400 cr
The Department of Disinvestment (DoD) would start roadshows in Singapore, Hong Kong, Japan, US and UK on February 19 for disinvestment of the state-run aluminium company. The roadshows would conclude on February 25, sources said.
"Nalco disinvestment will happen only after the budget. There is lot of volatility in the markets before the budget and hence we have decided to schedule it in the beginning of March," sources said. The budget is to be presented in Lok Sabha on February 28.
The 12.5 per cent stake or 31.31 crore share sale of Nalco is expected to fetch around Rs 1,400 crore to the exchequer at the current market price. Shares of Nalco closed at Rs 47, up 0.75 per cent on the BSE.
Government currently holds 87.15 per cent stake in Nalco. The government had in November last year deferred disinvestment of Nalco citing poor second-quarter performance which raised valuation concerns and said the stake sale would happen only after the third quarter results.
The aluminium major reported a more than two-fold jump in its October-December quarter net profit to Rs 118.94 crore, on the back of improved sales. The National Aluminium Company (NALCO) had a profit of Rs 51.22 crore in the same period last fiscal.
"We expect to get good valuation of Nalco. Last
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