OFS to open 10% stake in SAIL; OFS to open on January 14

Government will sell 10 percent stake in SAIL

The central government has planned to sell 10 per cent of the total equity in Steel of India Limited (SAIL) on Wednesday. Of this, 5 per cent will be sold through equity and 5 per cent through greenshoe option.

January 13, 2021, 6:56 PM IST

new Delhi: The central government has planned to sell 10 per cent of the total equity in Steel of India Limited (SAIL) on Wednesday. Of this, 5 per cent will be sold through equity and 5 per cent through greenshoe option. The government also has an option to sell 20.65 crore shares. Explain that the government will make this stake through the offer for sale. The total size of OFS is 413,052,528 shares, which is calculated at Rs 2,664 crore.

64 will be the share price
Giving information, DIPAM Secretary said that the floor price of the share has been fixed at Rs 64 per share. OFS will be opened for non-retail investors on Thursday i.e. January 14. Apart from this, it will be open for retail investors on Friday i.e. January 15.

Offer for Sale (OFS) in SAIL opens on Thursday (14.1.2021) for non-retail investors. 15th January (Friday) is for retail investors. GoI would divest 5% equity with a 5% greenshoe option. pic.twitter.com/EYgA7Nes6a

– Secretary, DIPAM (@SecyDIPAM) January 13, 2021

The stake was also sold in 2014
Let us tell you that the total size of OFS is 206,526,264 equity shares, whose face value will be Rs 10 per share. SAIL, under the Ministry of Steel, is India’s largest steel producer with an annual capacity of about 21 million tonnes per year. The government holds 75% stake in SAIL. It sold a 5% stake in Steel CPSE in December 2014.

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How much production
SAIL increased production by about 9% in October-December. The company has produced about 4.37 million tonnes in this period. SAIL said in a statement, the company produced 4 MT of crude steel a year ago. During the period under review, its total sales were 4.32 MT, which was almost 6 percent higher than 4.09 MT in the same quarter of the previous financial year.