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NMDC dips on government stake sale plans

The government is likely to sell its 10% equity this week in iron ore miner through the offer-for-sale (OFS) route.

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SI Reporter Mumbai
Last Updated : Jan 24 2013 | 2:10 AM IST

NMDC has dipped 4% at Rs 153, extending its Friday’s 3% fall on reports that the government is likely to sell its 10% equity this week in iron ore miner through the offer-for-sale (OFS) route.

“The empowered group of ministers (EGoM) headed by Finance Minister P Chidambaram will meet to finalise the price for selling a 10% stake in state-run miner NMDC,” the report suggests.

The government may offer share sale at discount in the range of 10-15% to the current market price, added report.

Currently, the government hold 90% stake in NMDC, while the remaining 10% stake are with domestic institutional investors (8.42%), individual investors (0.92%) and foreign institutional investors (0.66%), the BSE data shows.

The stock opened at Rs 158 and hit a low of Rs 152 on the BSE. A combined 56,000 shares have changed hands on the counter in opening deals.

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First Published: Dec 10 2012 | 9:24 AM IST

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