(Image source from: })
The government has decided to offer Coal India Limited (CIL) shares at a floor price of Rs 358 a piece today.
The floor price was fixed by the government on Thursday at a discount of about five percent from the current market price of CIL, in which the government has close to 90-per cent stakes.
In the one-day stake sale from 9 am to 3.30 pm the government will sell 31.58 crore shares, or five per cent stake, the other 5% sale would be made based on demand.
By this retail inventors will be benefited by five per cent price discount and 20-per cent shares are reserved for them only.
CIL shares were sold at a price of Rs 245 in the IPO, which was oversubscribed by more than 15 times.
The govt has to dilute its stake by further five per cent at a later stage to meet the capital market norms of maximum 75-per cent in promoter share holder in List Company.
The government has to sell more shares Rs 20,000 crore in public sector firms to meet the fiscal within two months to help meet its fiscal deficit target of 4.1 percent of GDP for this financial year.
AW: Arun Kumar