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ONGC may acquire 77.11% stake in HPCL for $6.6 billion

27 Feb 2017 Evaluate

Oil and Natural Gas Corporation (ONGC) may acquire the government’s 51.11% stake in Hindustan Petroleum Corporation (HPCL). This will be followed up with an open offer to acquire additional 26% from other shareholders of HPCL. The deal for the 77.11% stake would be worth Rs 44,000 crore or around $6.6 billion at current market prices. The deal is a follow-up on Finance Minister Arun Jaitley’s Budget announcement of creating an integrated oil company.

ONGC is India’s largest government-run corporation and produces about 70% of India’s crude oil and natural gas. The corporation is the biggest public sector commercial organization in India.


 


Peers
Company Name CMP
ONGC 226.00
Oil India 453.50
Jindal Drilling&Inds 495.90
Deep Industries 668.65
Asian Energy Service 408.80
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