The government will sell up to 10 per cent of stake held in Steel Authority of India through an offer for sale, in a move that’s expected to fetch Rs 2,600 crore to the exchequer in divestment receipts.
The government is selling 206.5 million shares or 5 per cent in the one of the largest steel-making companies with a floor price of Rs 64 a share. It has also kept the option to sell another 5 per cent if the issue is oversubscribed. The government’s stake post the sale will come down from 75 per cent to 65 per cent if the greenshoe option is exercised.