NLC shares to be transacted on August 2

Shares will be transacted for a price band of Rs 58-60 per share

Neyveli Lignite Corporation Ltd's (NLC's) Institutional Placement Programme (IPP) of Equity Shares to sell 3.56% stake in the company would take place in one tranche on August 2, 2013.

The transaction, at a price band of Rs 58-60 per share at a face value of Rs 10 each, is expected to fetch around Rs 350 crore to the country's exchequer, according to reports.

The company today informed the exchanges that the price band for the IPP of Equity Shares has been fixed at Rs 58-60 per share of Rs 10 each. The IPP transaction would be completed in one tranche and would remain open for one day only, on August 2, 2013.

It may be noted that the central government has been planning to divest around 5.58 crore shares in the company through an IPP, to the entities under the Government of Tamil nadu, in order to comply with the minimum public share holding norms of Securities and Exchange Board of India (Sebi).

The centre was planning to sell five% share as part of this. However, following the discussions with the State government, it decided to sell 3.56% stake.