OIL stake sale oversubscribed; may fetch a little over Rs3,130 crore
01 Feb 2013
Oil India's offer to sell 10 per cent of its equity is reported to have been oversubscribed by 25 per cent over the 60.1 million shares on offer, raising the prospects of the company raking in around Rs3,130 crore.
By 3:00 pm today, the Navratna public sector undertaking is reported to have received bids for 75.1 million shares against the 60.1 million shares on offer.
The government stake sale is now expected to raise a little over Rs3,130 crore at an indicative price of Rs518.04 a share. The indicative price is the weighted average price of all valid bids.
The government had fixed the floor price for the OIL stake sale at Rs510 a share.
In fact, by late noon, Oil India received a total 141.6 million bids for the 60.1 million shares on offer. These included bids for 68 million shares with 100 per cent margin and 73.5 million shares with zero per cent margin.
Bids that came in with zero per cent can revise the price upwards but they cannot reduce the price or quantity or cancel orders.
