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
Dhirendra Krishna Shastri concluded the Sanatan Hindu Ekta Padyatra, which began in Delhi, on Sun
The Supreme Court has made a historic decision to abrogate Articles 370 and 35 (A). The apex cour
Earthquake in Taiwan: Today is once again recorded in history for Taiwan. Exactly 25 years ago, t
India Canada Row The rift between India and Canada has increased significantly in the last few mo
Former Indian spinner Ravichandran Ashwin has openly shared his views on Ishan Kishan's return to
Kangana Ranaut has been given a ticket by the BJP from the Mandi constituency of Himachal Pradesh
Indian cricket team's opening batsman Shikhar Dhawan is out of the team these days. Even away fro
After India, now Russia also launched Lunar Mission Luna-25. Russia has sent its vehicle after 47
The Indian team has two major goals in the upcoming T20 World Cup. The first is to become the fir
Wait for Punjab Board 8th Result 2023. Big news for students-parents. Punjab School Education Boa
