Tata Communications tumbles 7% as OFS to divest govt stake begins

Shares of Tata Communications, earlier state-owned VSNL, were down 7 per cent at Rs 1,206 on the BSE in intra-day trade on Tuesday as offer for sale (OFS) to divest the government holding in the company opened today for institutional investors.

The government will sell its 10 per cent stake, with an option to sell an additional 6.12 per cent stake in Tata Communications. As of December 31, 2020, the government held a 26.12 per cent stake in telecom alternative carriers company through the President of India, the shareholding pattern data shows.

The floor price has been set at Rs 1,161, and