HZL OFS attracts bids worth Rs 3,400 crore from institutional investors, government to exercise greenshoe option

The government's offer-for-sale for much than 4.75 crore Hindustan Zinc Ltd (HZL) shares to organization investors over-subscribed connected Wednesday, with organization buyers putting bids worthy adjacent to Rs 3,400 crore. On the archetypal time of the two-day OFS, bids came successful for implicit 6.69 crore shares, which is 1.41 times the full of 4.75 crore shares connected connection for organization buyers.

The contented volition unfastened for retail investors connected Thursday.

"Offer for Sale successful Hindustan Zinc Limited (HZL) received enthusiastic effect from non-retail investors today. Government has decided to workout the greenish footwear option," Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kanta Pandey said connected X.

The government, which holds a 29.54 per cent involvement successful HZL, is the largest number shareholder successful the Vedanta Group firm.

Through the two-day OFS, the authorities is selling implicit 5.28 crore shares, oregon 1.25 per cent stake, with a greenshoe enactment to clasp further subscriptions of a akin amount.

Institutional investors connected Wednesday enactment successful bids for implicit 6.69 crore HZL shares astatine an indicative terms of Rs 505.51 a stock arsenic of 1530 hours, against much than 4.75 crore shares reserved for them.

If the 2.5 per cent involvement connected connection gets afloat subscribed, the HZL involvement merchantability volition garner implicit Rs 5,000 crore to the exchequer.

Shares of HZL settled 8.28 per cent little astatine Rs 513.15 apiece connected the BSE.

The proceeds from the HZL involvement merchantability would adhd up to the government's disinvestment kitty. So acold this fiscal, the authorities has raised Rs 5,176 crore done number involvement income successful Central Public Sector Enterprises (CPSEs).