on Jul 27, 2021)MUMBAI: The government is plans to raise over Rs 720 crore by offloading up to 8% stake in (Housing and Urban Development Corp) through an offer-for-sale (OFS), the company informed the bourses.
The government, HUDCO’s main promoter, has mandated merchant bankers to sell up to16 crore shares at a floor (minimum) price of Rs 45 per share. On Monday, HUDCO shares on the BSE closed at Rs 47, down 7% on the day since marketmen were expecting supply of shares from the government.
The part of OFS under which institutional investors could bid for HUDCO shares will open on Tuesday, while retail investors are allowed to bid only on Wednesday, the closing day of the issue.
The OFS is divided into two parts. Under the base offer, about 11 crore shares (5.5%) of HUDCO, the specialised housing finance company, will be on offer.After the offer, the government’s stake in HUDCO will fall to 81.8%.
