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With just two months of the financial year left, the Finance Ministry seems to be racing ahead with stake-sales in State-run firms to help boost revenue collection and bridge the fiscal deficit.
The Centre will offload 10 per cent stake in MOIL on Tuesday through an offer-for-sale.
Sources said the floor price has been set at ₹365 a piece and retail investors will be offered a discount of 5.2 per cent.
“We hope to get a good response for the MOIL stake sale. The OFS will fetch about ₹480 crore,” said Neeraj Kumar Gupta, Secretary, Department of Investment and Public Asset Management, on Monday.
The Centre currently holds 75.58 per cent stake in MOIL, which was earlier known as Manganese Ore India Ltd.
On Monday, its shares gained 0.9 per cent and closed at ₹382.7 a piece on the BSE. This is the second divestment exercise by the Centre in as many weeks. Last week, it had launched the exchange-traded fund of public sector units (PSU-ETF), which helped raise ₹4,500.
ETF“The recent tranche of the PSU–ETF received bids worth ₹13,802 crore. Following this, the proceeds from disinvestment amount to about ₹30,000 crore,” Gupta said, adding that ETFs seem to be a popular option with investors.
While stressing that the department will do its best to meet the revenue target from stake-sales, Gupta said all options are open for disinvestment.
“We have to be cautious about the targets for disinvestment,” he said.
The Centre had budgeted raising ₹56,500 crore as proceeds from disinvestment in PSUs.
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