The government will sell up to 15 per cent stake in Hindustan Aeronautics Limited (HAL) through offer for sale (OFS), Hindustan Aeronautics said in a regulatory filing to the stock exchanges. The floor price for the offer has been fixed at Rs 1,001 per share, which is a 15 per cent discount to Wednesday's closing price of Rs 1,177.75.
The OFS will take place on a separate window of the stock exchanges, on August 27-28. The government proposes to sell 3,34,38,750 equity shares representing 10 per cent paid-up share capital of the company, with an option to sell an additional 5 per cent stake or 1,67,19,375 equity shares (over-subscription option), the company added.
The non-retail investors will be able to place their bids on August 27 and retail investors can do the same on August 28.
In an offer for sale, the company promoters offload their stake by selling the shares on the stock exchanges.
The government currently holds an 89.97 per cent stake in aerospace and defence company, Hindustan Aeronautics.
At 11:20 am, the stock of Hindustan Aeronautics was trading at Rs 1028, lower by Rs 149.75 or 12.71 per cent, on the BSE. The BSE Sensex was at 39,257, higher by 179.85 points or 0.46 per cent and the NSE Nifty was at 11,599.10, up 49.20 points or 0.43 per cent at the time.
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