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
Big Change in Mutual Fund Trends: Investors Move from Equity SIPs to Gold and Debt Funds
India’s mutual fund industry witnessed a major shift in investor sentiment during April, as
In the match played on Wednesday at Narendra Modi Stadium in Ahmedabad, Delhi Capitals (DC) won a
Earthquake: Earth shook again in Himachal, tremors felt at many places; Kinnaur's Sangla center
Earthquake tremors have been felt in many other areas including Kinnaur in Himachal. The earthqua
With the help of a brilliant partnership between Suryakumar Yadav and Rohit Sharma, Mumbai Indian
After the controversy over the use of animal fat in Tirupati's famous Laddu Prasadam, now the tem
Amidst all the speculation surrounding Mahendra Singh Dhoni's future, former Indian cricketer and
PAK vs NZ 1s T20: Haris Rauf stunned Kiwi batsmen, Pakistan won the first T20 match by 88 runs
PAK vs NZ 1st T20. The first match of the five-match T20 series between Pakistan and New Zealand
Doctors are on strike in government hospitals in Delhi today in protest against the murder of a d
Leader of Opposition in Lok Sabha and Congress MP Rahul Gandhi has left Hathras after meeting the
Adnan Sami: Adnan Sami remembered Lata Mangeshkar, and also praised Salman Khan
Adnan Sami is a well-known singer in Bollywood. He remains very active on social media. Often kee
