17 merchant bankers in race for IOC divestment

 Citibank, Goldman Sachs and ICICI Securities are among 17 merchant bankers in the race to manage the sale of 10 per cent of the government’s stake in Indian Oil Corporation (IOC), which is valued at over Rs 4,300 crore.

The Finance Ministry had in May moved a draft Cabinet note for the disinvestment of 19.16 crore IOC shares, or 10 per cent of the government’s stake, through an offer for sale.

The disinvestment department is expected to finalise the merchant bankers by mid-July, sources said.

At Friday’s closing price of Rs 225.20 on the BSE, the share sale will fetch the government Rs 4,315 crore.

At present, the government holds a 78.92 per cent stake in IOC.

Other bankers in the fray include Merrill Lynch, J P Morgan, Standard Chartered, HSBC, SBI Capital and Macquarie. The merchant bankers are scheduled to make their presentations on Thursday, according to the department of disinvestment website.

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