New Delhi : The 10% stake sale in Coal India is likely to be deferred to next fiscal as the government wants to wait for stability in the equity markets for a better valuation.
“If we don’t get the right price, we may not sell government shares in CIL this fiscal,” an official told PTI.
Coal India shares are currently trading at Rs 318.20 a share, resulting in a notional loss of over 11% to investors who purchased the equity at Rs 358 apiece in the disinvestment on January 31, 2015.
At current price of Rs 318.20, sale of 63.16 crore shares, or 10% stake, would bring in around Rs 20,000 crore to the exchequer.
Foreign investors such as Fidelity, Wellington Management and BlackRock have already conveyed to the disinvestment department their reservations over Coal India stake sale at the current juncture as the stock is already beaten down.
