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
World Cup 2023: Pakistan announced a 15-member team, know who got the chance and who was out?
Pakistan Cricket Board on Friday announced Pakistan's 15-member squad for the ICC ODI World Cup 2
After the defeat in the Milkipur assembly elections of Uttar Pradesh, Samajwadi Party chief Akhil
Student Protest Turns Violent in Patna: Lathi-charge Amid Demands for UGC Norms and 65% Reservation
On Wednesday, a student protest in Patna suddenly turned violent. A large number of students gath
Bollywood's King Khan, Shah Rukh Khan, is often known for his funny style and wit. Something simi
The team of Archaeological Survey of India will continue the survey work on the second day as wel
Khushboo Pandey, a resident of Malaypur, who calls herself a Hindu lioness, finally got caught in
Bollywood's 'Dabangg' actress Sonakshi Sinha is going to tie the knot soon. Sonakshi will become
Apple has launched the all-new iPhone 17 series at its 'Awe Dropping' launch event on September 9
Voting has started today for the Delhi Assembly elections. The voting process has started on all
The issue of Kachchativu Island is once again in the news. The reason for this is an appeal made
