New Delhi: Realty firm Omaxe’s promoters will sell 5 million shares, worth 80 crore, on 21 May through the offer for sale (OFS) route in order to dilute stake in the company to meet Sebi’s minimum public shareholding norms.

As on 31 March, promoters had 89.14% stake in the company. The promoter companies Constellation Capital Ltd and S.A. Finvest Ltd will sell 2.5 million shares each. In a notice of offer for sale of equity shares, Omaxe said that the promoters would offer a total of 5 million shares, representing 2.88% of the paid-up capital of the company.

The floor price would be announced on Monday.

“The Offer shall take place on a separate window of the BSE and shall commence on May 21, 2013 at 9.15 am and shall close the same day at 3.30 pm," the notice filed to BSE said.

The OFS is being launched to meet market regulator Sebi’s norm on minimum 25% public shareholding by 30 June for private sector listed companies.

Omaxe is possibly the first real estate company to opt for the OFS route to offload promoter shares. After the sale of 5 million shares, promoters stake would come down by about 3% to about 86%.

Sources said the promoters would offload more shares later to meet the June deadline for reducing their stake to 75%.

Under OFS mechanism, promoters auction their existing shares to bring down their stake in a company.

Omaxe’s share price settled on Friday at 161.45 apiece on BSE, up 4% from the previous closing. The company’s market capitalization stood at 2,802 crore.

Recently, DLF tapped the institutional placement programme (IPP) route to dilute promoter’s stake. The country’s largest realty firm raised 1,863 crore through sale of over 81 million shares on 14 May, enabling the promoters to pare their stake to 75%. Last year, Godrej Properties had raised 470 crore via IPP, while Prestige Estates raised 364 crore this year via the IPP route. Bangalore-based Puravankara Projects Ltd will soon launch IPP to sell up to 21.5 million equity shares, worth about 200 crore, to institutional investors.

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