Shares of oil drilling and exploration entity ONGC in early trade on March 30, 2022 fall by close to 5% to day's low price of Rs. 162.7 apiece on the NSE. Shares of ONGC in the previous session closed at Rs. 171.
In an exchange filing on Tuesday, the country's leading oil and gas producer said that the Offer For Sale (OFS) by the government will be open on March 30 and 31. "The promoter (the government) proposes to sell up to 94,352,094 equity shares of the company, (representing 0.75 per cent of the total paid-up equity share capital of the company) on March 30, 2022 (to non-retail investors) and on March 31, 2022 (to retail investors) with an option to additionally sell 94,352,094 equity shares (in case of oversubscription)," added the filing.
The floor price for the OFS has been fixed at Rs 159 per share. In the OFS, a minimum of 25 per cent of the shares are reserved for mutual funds and insurance companies while 10 per cent is available for retail investors.
ONGC employees can bid for equity shares worth up to Rs 5 lakh each, the filing added. Additionally, 0.075 per cent of equity shares sold in the OFS would be provided to eligible employees at the cut-off price.
To mop up approximately Rs. 3000 crore, the centre shall divest up to 1.5% stake in the company. The centre currently has a 60.41 percent holding in ONGC that produces almost 50% of the country's oil and gas.
With PTI Inputs