close

Govt needs to sell stake of over Rs 250 billion as deadline draws near

Sebi had given an extension last year for PSUs to meet 25% minimum public shareholding rule

Sachin P MampattaSameer Mulgaonkar Mumbai
Govt need to sell stake of over Rs 250 billion as deadline draws near
Premium

Disinvestment

The government will be required to sell stake worth over Rs 269.8 billion in less than two months in order to meet a regulatory deadline for minimum public shareholding.
 
The Securities and Exchange Board of India (Sebi) had granted an extension last year for listed public sector companies to meet the 25 per cent public shareholding rule. The deadline expires on August 21.
 
An examination of current shareholding shows that the Centre will have to sell Rs 181.4 billion in companies, excluding public sector banks (PSBs). Embattled PSBs, whose government stake increases on account of capital infusion, would need another Rs 88.3 billion in stake sales, according to the June 26 share prices and shareholding data compiled by the Business Standard Research Bureau. This takes the total to Rs 269.8 billion.
 
Pranav Haldea, managing director, Prime Database Group, said it would be unlikely to see such a large number of issues in such
Or

Also Read

Sebi suspects price rigging by PSBs, examines stock trading pattern

PSBs may re-approach Sebi for relaxing the rule on promoter equity

Auditor resignations not all that rare; here's all you need to know

Sebi readying framework for issuance of P-Notes from IFSC centres

Sebi sets conditions on promoters selling holdings to achieve MPS norms

Parliament approves wage code bill providing minimum wages for workers

27 investors evince interest in new bundle of TOT project offered by NHAI

Electricity generation up 6% in June quarter amid uptick in demand

Govt will seem 'desperate' if it raids RBI's balance sheet: Subbarao

India ready to move to clean and affordable fuel: Dharmendra Pradhan

First Published: Jun 27 2018 | 6:53 AM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers. Already a BS Premium subscriber?LOGIN NOW

Register to read more on Business-Standard.com