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After nearly three years of launching CPSE ETF, the government will on January 17 initiate the second tranche of fund-raising to garner up to Rs 6,000 crore.
The issue size of follow-on fund offer, which will open on January 17 and close on January 20, is Rs 4,500 crore with a greenshoe option of Rs 1,500 crore.
As much as 5 per cent discount will be given to anchor investors, for whom the issue will open on January 17, a top official said.
Besides, priority will be given to retail and pension funds at the time of allotment, the official added.
The government had first launched a CPSE ETF in March 2014 under which retail investors have to invest a minimum of Rs 5,000 to buy units. It had then raised Rs 3,000 crore through the ETF.
CPSE ETF, which functions like a mutual fund scheme, comprises scrips of 10 PSUs — ONGC, Coal India, IOC, Gail India, Oil India, PFC, Bharat Electronics, REC, Engineers India and Container Corporation of India.
The fund-raising will help the government inch towards Rs 56,500-crore disinvestment target for the current fiscal. It has already raised about Rs 24,000 crore through share sale and buyback so far this fiscal.
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