Stake sale in steel major Steel Authority of India Ltd. (SAIL) has commenced on Friday with the government planning to raise a minimum of Rs.1,514 crore through the public auction.
The government will auction 5.82 percent share in the steel major with a floor price of Rs.63 apiece, compared to a 10.82 percent stake approved earlier by the Cabinet.
The current price of Rs.63 per share works out to over 1.41 percent over the price of Rs.63.90 closed on Thursday's on the BSE.
The government is selling 24.03 crore shares in SAIL through auction route, the last stake sale of its disinvestment programme for the current fiscal year.
The auction, if subscribed fully, would take the proceeds from disinvestment in this fiscal to around Rs.23,800 crore, the highest ever realization on disinvestment front in a single year.
Merchant bankers for SAIL share sale include SBI Caps, Kotak Mahindra and Deutsche Bank.
For the third quarter ended December 31, 2012, SAIL reported a 23 percent drop in ts net profit at Rs .484 crore from the year-ago period, mainly due to lower net sales realization amid subdued market conditions.
The country's largest steel producer has a cash balance of over Rs.6,000 crore.
The government had received Cabinet approval for SAIL disinvestment in July last year, but could not be taken forward amid the subdued market conditions.
At the BSE, Steel Authority of India shares are currently trading at Rs.63.55, down 0.55 percent from the previous close.
For comments and feedback contact: editorial@rttnews.com
Business News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.