New Delhi: The government will sell 15 per cent stake in construction company NBCC (India) Ltd on Thursday at a floor price of Rs246.50 a share, which is expected to fetch around Rs2,200 crore.
The floor price fixed for the Offer of Sale was at a discount to NBCC’s Wednesday’s closing price of Rs253 on the BSE.
As much as 9 crore shares will be sold over two days, with institutional investors getting to bid on Thursday and retail investors getting a chance on Friday.
“20 per cent of the offer size shall be reserved for retail investors subject to the receipt of valid bids,” the Offer for Sale notice said.
The Offer would open at 0915 hours on Thursday. Retail investors, who were defined as individual investors who place bids for sales of total value of not more than Rs2 lakh in aggregate, will be allocated shares at a discount of 5% of the cut-off price.
Any unsubscribed portion of the retail category shall, after allotment, be eligible for allocation to the un-allotted bids of such non-retail investors who have chosen to carry forward their bids to Friday.
The centre holds 90% in the company, which has a market capitalisation of Rs15,180 crore. According to sources, foreign brokerages have a 70% ‘buy’ and 30% ‘hold’ opinion on NBCC shares.