HAL Stake Sale: The government will sell up to a 3.5 percent stake in Hindustan Aeronautics Limited (HAL) at a floor price of Rs 2,450 per share. The two-day offer for sale (OFS) will open for institutional investors on Thursday and for retail buyers on Friday.
The OFS comprises a base issue of 1.75 percent or 58.51 lakh shares. This also includes the option of retaining the over-subscription.
The government will sell a stake in HAL
HAL has said in a regulatory filing that the oversubscription option is being exercised in this sale. The Equity Shares forming part of the Base Offer Size and oversubscription option will represent 3.50 percent (1,17,03,563) Equity Shares of the Company.
what is the deal price?
The sale of a 3.5 percent stake at the floor price of Rs 2,450 per share will fetch the exchequer around Rs 2,800 crore. The floor price is at a discount of approximately 6.7 percent to the closing share price of HAL on BSE. Shares of HAL on Wednesday closed at Rs 2,625.20, down 0.93 percent, on the BSE.
The government proposes to sell 1.75% of its equity shares of the face value of Rs 10 each to non-retail investors. Apart from this, the option of selling 1.75% more stake is also open in case the issue is oversubscribed, that is, a total of 3.5% stake can be sold in this way.
HAL is a defense company
The government currently holds a 75.15 percent stake in HAL, a Central Public Sector Enterprise (CPSE) under the Ministry of Defence. The proceeds from the HAL OFS will be added to the disinvestment fund of the government for the current financial year.
The government has so far raised Rs 31,106.64 crore through disinvestment and share buyback in CPSEs. The government had last monthly revised its estimate of disinvestment revenue for the current fiscal at Rs 50,000 crore against the budgeted target of Rs 65,000 crore.
Also Read: Signature Bank : After SVB, now Signature Bank is also closed, and FDIC takes control
Former Maharashtra Deputy Chief Minister Ajit Pawar died in a plane crash on January 28. The NCP
Indian women's team's experienced all-rounder Deepti Sharma has created history during the fifth
Recovering from its lows, the rupee strengthened by 128 paise to reach 93.57 against the dollar.
Prime Minister Narendra Modi honored famous young personalities with the National Creators Award
Bawaal Celeb Review: Varun Dhawan and Jhanvi Kapoor's film 'Bawal' is about to release on OTT pla
Aditya Dhar Gives Final Touches to 'Dhurandhar: The Revenge'; Director Reacts to Viral Memes
When Dhurandhar was released, Aditya Dhar garnered immense praise—particularly for the meti
The craze of Panchayat Season 4 had not even subsided from the audience when Amazon Prime Video a
On the back of Virat Kohli's brilliant batting, Royal Challengers Bangalore defeated Punjab Kings
In IPL 2023, two vigorous matches were played on Super Sunday. In the first match, Rinku Singh hi
The first meeting of the high-level committee formed by the Central Government to investigate the
