Hindustan Copper share sale subscribed 69% till 1225 hrs - NDTV

New Delhi: The government's 4.01 per cent stake sale in Hindustan Copper today received bids for 69 per cent of the offer size after over three hours of trading on the stock exchanges. The issue received bids for over 2.56 crore shares, or 69 per cent, of the 3.71 crore shares on offer at 1225 hours, according to data from stock exchanges. The indicative price was Rs. 70 apiece, which was also the base price for the share sale. At this price, if the issue is fully subscribed, it could fetch the exchequer Rs. 260 crore. Soon after the stake sale commenced on the bourses, Hindustan Copper scrip touched a low of Rs 70.55, 2.89 per cent lower than previous close on the BSE. After the close of market hours yesterday, a government panel had cleared the 4.01 per cent stake sale in Hindustan Copper Ltd (HCL) at a base price of Rs. 70 a share. The base price was at a discount of 3.65 per cent over the closing price of R s. 72.65 apiece. On the National Stock Exchange, HCL scrip hit a low of Rs. 70.50, down 2.56 per cent over previous close. Nearly nine lakh shares of HCL changed hands on both BSE and NSE in trade today. The government holds 94.01 per cent stake in HCL. The stake sale would make the company compliant with the minimum 10 per cent public holding norm of market regulator Sebi. The sale of 4.01 per cent stake, or over 3.71 crore share, is being undertaken through offer for sale (OFS) route. Axis Capital, ICICI Securities, Kotak Securities, SBICAP Securities and UBS Securities India are acting as brokers for the share sale. The government had in November last year sold 5.58 per cent stake in HCL through OFS route at an average price of Rs. 156.56 apiece. The stake sale fetched Rs 808 crore to the exchequer. In September, 2012, the Cabinet had approved 9.5 per cent stake sale in HCL. The government had then decided to go ahead with only one tran che of the issue to get a good price from the auction. HCL is the second PSU to hit the market in the current fiscal. Last month, the government had raised Rs. 568 crore through divesting 9.33 per cent stake in MMTC. The government plans to raise Rs 40,000 crore through disinvestment in 2013-14. via Business - Google News http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNFJBYhmHjTIlgd5oS6VFHqBzItq0g&url=http://profit.ndtv.com/news/corporates/article-hindustan-copper-share-sale-subscribed-69-till-1225-hrs-324019

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