Govt to give 20 shares each to Maruti employees

Prime Minister Manmohan Singh has cleared a proposal to issue 20 shares each to 3,609 employees of Maruti Udyog (MUL) after the government today divested 8% stake to domestic financial institutions.

"Prime Minister has been consulted, and he has approved that 20 shares each should be made available to 3,609 employees of Maruti at the discovered price. The balance will remain with the government," finance minister P Chidambaram said after announcing the names of successful bidders for 8% shares of MUL.

A better-than-expected response to the sale of 8% stake has enthused the government, which is now planning to offload the remaining 10.24% in MUL.

"The department of heavy industry has said that the residual shares in Maruti could be sold at a suitable time. The proposal will be considered as per the process," Chidambaram said.