The government is planning to launch the sixth tranche of the CPSE ETF on 18 July to raise Rs 10,000 crore, a PTI report said citing an official.
The CPSE ETF is an exchange trade fund (ETF) tracks 11 Central Public Sector Enterprises (CPSEs), namely, ONGC, NTPC, Coal India, IOC, Rural Electrification Corp, Power Finance Corp, Bharat Electronics, Oil India, NBCC India, NLC India and SJVN (Satluj Jal Vidyut Nigam).
The follow-on fund offer (FFO) 5 will have a base issue size of Rs 8,000 crore with an option to retain over subscription of another Rs 2,000 crore," the official told PTI.
The FFO is likely to open for anchor investors on 18 July and other investors on 19 July.
The central government has a target of raising Rs 1.05 crore through disinvestment in 2019-20 from Rs 85,000 crore raised in the previous fiscal year.
Through the last five tranches of the CPSE ETF, the government raised a total of Rs 38,500 crore. From the first tranche in March 2014 it raised Rs 3,000 crore. It was followed by Rs 6,000 crore in January 2017, Rs 2,500 crore from the third in March 2017, Rs 17,000 crore in November 2018 and Rs 10,000 crore in March 2019.