Hindustan Copper offer for sale opens, shares fall 2.5%
The OFS of 3.7 crore equity shares (4.01 percent stake) has opened for subscription today. The government fixed floor price for offer for sale (OFS) issue at Rs 70 apiece that is a discount of 3.6 percent to Tuesday's closing price.
July 03, 2013 / 13:26 IST
Moneycontrol Bureau
Shares of state-owned Hindustan Copper fell 2.5 percent in morning trade Wednesday as the offer for sale (OFS) opens for subscription today. The floor price for the issue is fixed at Rs 70 apiece that is a discount of 3.6 percent to Tuesday's closing price.The government holds 94.01 percent stake in Hind Copper (HCL). The stale sale would make the company complaint to the minimum 10 percent public holding norm of market regulator Sebi. The sale of 4.01 percent stake or over 3.48 crore shares through offer for sale (OFS) route could fetch around Rs 240-250 crore to the exchequer, CNBC-TV18 sources said. Earlier in November 2012, the government had sold 5.58 percent stake in Hindustan Copper through OFS route at an average price of Rs. 156.56 apiece.The stake sale fetched Rs 808 crore to the exchequer. HCL is the second PSU to hit the market in the current fiscal. Earlier this month, the government had raised Rs 568 crore through divesting 9.33 percent stake in MMTC. The government plans to raise Rs 40,000 crore through disinvestment in 2013-14. At 09:45 hours IST, the stock was quoting at Rs 70.85, down 2.48 percent on the Bombay Stock Exchange.In the previous trading session, it was down 6.62 percent to Rs 72.65 ahead of OFS. The stock lost 24 percent in past one month and 73 percent in one year. 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!
