Leading steel manufacturer Steel Authority of India’s (SAIL) follow-on public offer (FPO) to raise Rs 8,000 crore is likely to hit the capital markets by around June 14, 2011. However, the exact dates will be finalized by the board of the directors in their meeting on May 23, 2011. The company by this month end plans to seek SEBI’s nod for the same.
Unfavorable market conditions and problems with merchant bankers have been the primarily reason behind the delay in the much awaited FPO of Steel Authority of India (SAIL), in which the government holds a little over 85%. As originally the FPO was supposed to hit the capital markets in December last year, which then got postponed to February this year. Post-FPO, government equity in the company is expected to go down to about 69%.
However, the company this time is also expecting that its RHP would be cleared by the market regulator SEBI on priority basis as it fulfills the criteria of having continuous profits in last three years and a turnover or market capitalization of over Rs 50,000 crore.
Company Name | CMP |
---|---|
JSW Steel | 913.65 |
Tata Steel | 174.25 |
SAIL | 166.20 |
Jindal Stainless | 805.40 |
Jindal Saw | 555.15 |
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