The government has proposed to sell more than 14 crore shares, or 7 percent stake, in the state-run Housing & Urban Development Corporation Ltd (HUDCO) via an offer for sale (OFS) on October 18-19.
The President acting through the Ministry of Housing and Urban Affairs gave the nod for the share sale in HUDCO via the OFS route.
The floor price for the offer has been fixed as Rs 79 per equity share, a regulatory filing noted.
On Day 1, that is October 18, HUDCO aims to sell up 7,00,66,500 equity shares of the face value of Rs 10 each, representing 3.5 percent of the total paid-up equity share capital of the company.
HUDCO may also use the option to additionally sell 7,00,66,500 (3.5 percent) equity shares of the company (the "Oversubscription Option") on Day 2 of the OFS on October 19, the stock exchange filing noted.
"And in event the Oversubscription Option is exercised, the equity shares forming part of the Base Offer Size and the Oversubscription Option will represent up to 14,01,33,000 equity shares (7 percent) of the total paid-up equity share capital of the Company," it added.
Notably, the OFS shall take place during trading hours on a separate window of the Stock Exchanges on October 18, 2023 (T day) and October 19, 2023 (T+1 day), from 9:15 a.m. to 3:30 p.m. (Indian Standard Time) on both days.
"Non-Retail Investors can place their bids only on the T day, that is October 18. And, Retail Investors, and also Non-Retail Investors may indicate their willingness to carry forward their un-allotted bids to T+1 day, that is October 19, "for allocation to them in the unsubscribed portion of Retail Category", the regulatory filing stated.
On October 10, the price of HUDCO shares closed at Rs 89.92, up 0.36 5 percent against the previous day's close.
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