New Delhi/Kolkata, Jan 28 (IANS): The central government Wednesday said it would sell up to 10 percent equity stake in state-owned Coal India Ltd. (CIL) numbering a maximum of 631,636,440 shares through the offer for sale (OFS) route. The sale will begin on Jan 30.
The floor price will be decided by the government Jan 29 and the sale is expected to fetch Rs.24,000 crore.
The initial number of shares available for trading will be 315,818,220, each priced at Rs.10, and an additional number of shares of the same number and pricing will be put on OFS thereafter.
The company has submitted a filing with the National Stock Exchange (NSE) announcing the offer for sale.
"The president of India, acting through and represented by the ministry of coal, government of India, has submitted to the exchange, a copy of announcement with respect to offer for sale through stock exchange mechanism for sale up to 31,58,18,220 equity shares of Coal India Limited by president of India, acting through and represented by the ministry of coal, the government of India (seller)," NSE said in a filing update.
At present, the central government holds 89.65 percent stake in CIL. Besides, 20 percent of the OFS has been reserved for retail investors.