IFCI plans to dilute stake in NSE, CCIL to raise funds for its operations

The country's oldest public sector financial institution IFCI proposes to further offload its stake in National Stock Exchange (NSE) as part of exercise to raise funds to fuel its operations, a top company official said.

Besides NSE, IFCI is also planning to dilute stakes in Clearing Corporation of India (CCIL).

"IFCI plans to reduce stake in some of the companies like NSE while plans are afoot to sell its stake in CCIL after getting regulatory approvals," IFCI MD E S Rao told PTI.

He further said IFCI plans to sell a part stake, depending on the price that investors offers.

Earlier this month, IFCI made partial disinvestment of its stake in NSE to the extent of about 0.02 per cent of the total number of equity shares of NSE, comprising of 1,00,000 number of equity shares at the rate of Rs 873.74 per equity share.

Besides, the company had sold 0.39 per cent stake in NSE in two parts -- 0.17 per cent for Rs 750 million and 0.22 per cent for Rs 939.3 million, as part of the planned stake sale in the exchange during this month itself.

The company is also trying to raise funds through divestments of its stake in CCIL where it has a 4 per cent stake.

Meanwhile, the government has pump in Rs 1 billion through preference shares into IFCI to shore up its capital and enhance operations.

Following the infusion, the government holding in the institution has increased from existing 55 per cent to about 56 per cent.