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
These days, North India is facing the brunt of intense heat. In many areas, the mercury has reach
Four villages were destroyed in a massive landslide in Wayanad, Kerala on Tuesday due to heavy ra
The action of removing encroachment from around the temple of Sambhal is going on continuously. T
North India is boiling with the fire raining from the sky. The mercury in Churu, Rajasthan has cr
Shaheed Diwas 2023: Why is Martyr's Day celebrated on March 23? and what is its importance?
Martyr's Day is celebrated every year in India to honor the martyrs and remember their sacrifices
Bollywood superstar Salman Khan has been in the news for the past few days. In fact, at 5 am on S
Home Minister Amit Shah addressed a public rally in the Patharkandi assembly constituency of Assa
Maharashtra: MNS rally against traders' protest, police detain activists
In response to the protest by traders against the slapping of a food stall owner in Maharashtra,
Prime Minister Narendra Modi inaugurated and dedicated several key development projects worth ove
Prime Minister Narendra Modi inaugurated the 28th Commonwealth Speakers and Presiding Officers Co
