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
The expert committee constituted to implement the Uniform Civil Code (UCC) in the state submitted
Delhi Alert on Ram Navami: Procession in Jahangirpuri amid tight security, drone monitoring
Delhi Police is already in alert mode this year because of the riots that took place on the occas
Before the counting of votes, the political temperature has heated up. AAP has made serious alleg
ASEAN Summit: PM Modi met Japan's new Prime Minister Ishiba, discussed cooperation in various fields
PM Narendra Modi met Japan's new PM Shigeru Ishiba in Laos on Thursday. This is the first meeting
As October is about to pass, changes are also being seen in the weather. After snowfall in the hi
Before the inauguration of Lord Ram's temple in Ayodhya on January 22, preparations are being mad
Dasara Collection Day 2: South film industry's superstar Nani has always been winning the hearts
The speed of Corona in the country seems to be uncontrollable. There has been a 100 percent incre
Saif Ali Khan was seriously injured by a man named Shariful Islam during an attempted robbery at
Pranit More has been evicted from the controversial reality show Bigg Boss Season 19. Nine contes
