<p>The Centre is planning to divest up to 15% stake in the Bengaluru-based public sector undertaking Hindustan Aeronautics Ltd (HAL) to mop-up an estimated Rs 5,021 crore.</p>.<p>In a regulatory filing with the Bombay Stock Exchange (BSE), the government offered 3.34 crore equity shares of face value of Rs 10 each, representing 10% of the total paid-up equity share capital of the company, as the base offer.</p>.<p>It will also offer 1.67 crore shares of HAL, comprising 5% of the company's share capital, as an oversubscription option under the offer.</p>.<p>Advised by IDBI Capital Markets & Securities Limited, SBI Caps, and YES Securities on the transaction, the floor price of the offer has been set at Rs 1,001 per share -- 15% below the previous close.</p>.<p>As a result, on Wednesday, the shares of the company tanked on BSE by Rs 143.55 (12.19%) and are currently trading Rs 1,034 apiece.</p>.<p>As of June 30, the government held 30.08 crore shares in HAL and controlled 89.97% of the company's shareholding. Post this share sale, the government's stake in HAL will come down to at least 79.97% or a maximum of 74.97%.</p>.<p>Over the past year, the health of HAL has shown significant improvement, as cash reserves of the company tripled in the FY20 to Rs 298 crore, from Rs 95 crore a year ago. In the build-up to the general elections, the defence PSU was forced to borrow from the market to pay for the salaries of the employees as the overdue from the armed forces had bulged.</p>
<p>The Centre is planning to divest up to 15% stake in the Bengaluru-based public sector undertaking Hindustan Aeronautics Ltd (HAL) to mop-up an estimated Rs 5,021 crore.</p>.<p>In a regulatory filing with the Bombay Stock Exchange (BSE), the government offered 3.34 crore equity shares of face value of Rs 10 each, representing 10% of the total paid-up equity share capital of the company, as the base offer.</p>.<p>It will also offer 1.67 crore shares of HAL, comprising 5% of the company's share capital, as an oversubscription option under the offer.</p>.<p>Advised by IDBI Capital Markets & Securities Limited, SBI Caps, and YES Securities on the transaction, the floor price of the offer has been set at Rs 1,001 per share -- 15% below the previous close.</p>.<p>As a result, on Wednesday, the shares of the company tanked on BSE by Rs 143.55 (12.19%) and are currently trading Rs 1,034 apiece.</p>.<p>As of June 30, the government held 30.08 crore shares in HAL and controlled 89.97% of the company's shareholding. Post this share sale, the government's stake in HAL will come down to at least 79.97% or a maximum of 74.97%.</p>.<p>Over the past year, the health of HAL has shown significant improvement, as cash reserves of the company tripled in the FY20 to Rs 298 crore, from Rs 95 crore a year ago. In the build-up to the general elections, the defence PSU was forced to borrow from the market to pay for the salaries of the employees as the overdue from the armed forces had bulged.</p>
