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CIL to transfer unsubscribed portion of employees' quota

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Press Trust of India Kolkata
Last Updated : Jan 21 2013 | 5:24 AM IST

State-run Coal India today said it has decided to allot unsubscribed portion of its mega initial public offer, which aims to garner up to Rs 15,475 crore, reserved for employees to other categories of investors.

"The unsubscribed portion of the IPO reserved for employees, if any, will be distributed in prescribed proportion among other categories of investors," CIL chairman and managing director Partha Bhattacharyya said.

CIL has reserved one per cent, or 6.3 crore shares, for its four lakh employees.

But, despite free demat account offer by the company, only 10 per cent of the employees had opted for the same, the company officials said.

Bhattacharyya said the employees' quota would not get exhausted due to some reasons. First, there is some resistance from trade unions and second, many of the employees are in remote places where they are not much exposed to such things.

"This is a little disappointing as participation from employees is expected in such events," he said, while responding to queries at the roadshow of the IPO at its headquarters.

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First Published: Oct 18 2010 | 6:07 PM IST

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