Disinvestment of Coal India Ltd (CIL) Through OFS Successfully Completed; ₹ 22557.63 Crore Accrued to the Government from this Disinvestment Process; This is the Largest Ever Disinvestment Among Central Public Sector Enterprises (CPSES)

Disinvestment of Coal India Ltd (CIL) through OFS was successfully completed today. An amount of ₹ 22557.63 crore was realized through the CIL disinvestment process. This is the largest ever disinvestment among Central Public Sector Enterprises (CPSEs) which involved disinvestment of 5% of the paid-up equity of Government of India (with an option to retain additional 5% in case of oversubscription) in CIL. The total offer size (5%+5%) was totaling 63.16 crores shares. However the total bids received were for a quantity of 67.5 crores across all categories. The oversubscription to the total quantity was around 5%. The category wise break-up of bidded quantities is as under:

The major highlights of the issue are as under:

(i)   The CIL disinvestment has attracted the largest FII participation in a Government OFS.

(ii)  Out of the total shares offered for sale, 20% were allocated for Retail Investors i.e. those investors who placed bids for shares of total value of not more than ₹ 2.00 lakh. ₹ 1852.55 have been received from the retail investors, the largest in any OFS so far.

(iii)  Government of India offered 5% discount to Retail investors on price bid to attract more Retail Investors.

(iv) Government fixed ₹ 358/- floor price for the auction of shares which was 4.5% less than the closing price on 29.2.2015.

(v)   With this divestment, the Government of India’s share in CIL would come down to 79.65%.

(vi)  The Total receipts accruing to the Government from the CIL disinvestment are ₹ 22557.63/-