SAIL FPO likely to open on February 8
India's second largest steel maker and state-owned Steel Authority of India's (SAIL) follow-on public offer (FPO) is likely to open on February 8, 2011, which will be first public offer of the year 2011 from government, reports CNBC-TV18.
January 07, 2011 / 11:42 IST
India's second largest steel maker and state-owned Steel Authority of India's (SAIL) follow-on public offer (FPO) is likely to open on February 8, kick-government's public offer in this year, reports CNBC-TV18.
Under the first phase, SAIL will go in for a fresh issue of 5% of pre-issue paid up capital. This will be along with an offer for sale of 5% of government equity in the company. The rollout of the two-phased FPO, although approved by the Cabinet Committee on Economic Affairs (CCEA) in April 2010, had been stuck due to board composition issues such as appointment of independent directors.The Centre had in October 2010 approved restructuring of the board of SAIL so as to meet regulatory norms.In all, the CCEA had approved a proposal for issuing additional equity of 10% by the company and divestment of Government equity to the tune of 10% through offer for sale, to be carried out in two phases.(With inputs from The Hindu Business Line) Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
