Engineers India OFS oversubscribed 2.54 times

Under the OFS, the govt is offering 33.6 mn shares to the public thereby disinvesting 10% of its equity in the Public Sector Undertaking

Engineers India Ltd (EIL) today informed its Offer for Sale (OFS) has been oversubscribed 2.54 times indicating enthusiastic response from all category of investors.

Under the OFS, the government is offering 33.6 million shares to the public thereby disinvesting 10 per cent of its equity in the Public Sector Undertaking (PSU). The floor price for the share sale was fixed at Rs 189 per share of face value of Rs 5.

"The EIL OFS received overwhelming response from retail investors which is borne out from the fact that the OFS registered participation of 3.9 times from this category of investors," the company said in a statement.

It added the investor enthusiasm for the OFS is borne out by the fact that the indicative price for the offer was Rs 190.63 which is above the floor price. The success of the offer raises hopes for the government's disinvestment programme in the remainder of the current fiscal, according to EIL.