By IANS,
New Delhi : The Cabinet Committee on Economic Affairs (CCEA) Thursday approved a proposal to sell 10 percent stake in the National Mineral Development Corporation (NMDC).
The stocks offload will be done through the Offer for the Sale (OFS) method.
As of March 31, 2012, the paid-up equity capital of NMDC is Rs.396.47 crore. After the disinvestment, the government’s shareholding in the company would come down to 80 percent.
A finance ministry release said the CCEA also approved a related authorisation to change the method of disinvestment from the OFS method, if required due to market conditions or changes in SEBI Rules and Regulations.
In 2010, the government offloaded 8.38 percent stake in NMDC, which fetched over Rs.9,900 crore.
The government aims to mobilise Rs 30,000 crore through disinvestment this year.
State-run NMDC is India’s largest producer of iron ore, operating two mining complexes in Chhattisgarh and one in Karnataka.