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
New Covid Variant: Fear of another wave in UK, scientists alert about new 'ERIS' variant
The ongoing global corona infection has not stopped yet, researchers say that the virus is contin
Bigg Boss 18: Did Vivian Dsena flop in Bigg Boss 18? Housemates gave him the tag of 'least favorite'
Just a day after the grand premiere of Salman Khan's show 'Bigg Boss 18', the viewers of the show
On Tuesday, on the occasion of World Population Day, family welfare promotion honor ceremonies wi
Delhi-NCR shivers in biting cold, AQI also in 'very poor' category; when will relief come?
After a brief respite of only two days due to reduced wind speed, Delhi-NCR's pollution levels re
Salman Khan: Salman Khan started shooting for 'Battle of Galwan' in Ladakh, BTS picture goes viral
There is good news for Salman Khan fans as Salman has started shooting for his much-awaited film
Twitter co-founder and former CEO Jack Dorsey claimed that India was 'pressuring' him to close th
After the formation of the Labour Party government in Britain, whatever little uncertainty there
Aam Aadmi Party (AAP) national convenor and former Delhi Chief Minister Arvind Kejriwal will visi
India-UK FTA: India and UK can sign FTA this year, Commerce Secretary said this
India and UK may sign Free Trade Agreement (FTA) this year as both countries have reached a conse
Irfan Pathan On Shardul Thakur IPL 2023. On 6 April 2023, in the 9th match of IPL 2023 at the Ede
