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Maruti IPO in June first week
New Delhi, Apr 28: The Initial Public Offer (IPO) of car market leader Maruti Udyog will hit the markets in the first week of June, Disinvestment Minister Arun Shourie said today.
New Delhi, Apr 28: The Initial Public Offer (IPO) of car market leader Maruti Udyog will hit the markets in the first week of June, Disinvestment Minister Arun Shourie said today.
"Maruti IPO is on track. The prospectus has been filed with Sebi. So, I am confident that we would be able to approach the markets in the first week of June," Shourie told reporters here.
The public issue would be for sale of government's 25 per cent stake in Maruti, in which Japanese auto maker Suzuki Motor Corporation has 54.2 per cent stake.
The draft prospectus for the IPO was filed with market regulator Securities and Exchange Board of India (Sebi) on April 25. The foreign investment promotion board had recently granted a generic permission for participation of NRIs, OCBs and FIIs in the domestic offering.
Last year, government ceded control of Maruti to Suzuki following a Rs 400 crore rights issue. Suzuki acquired about four per cent equity in the company for a consideration of around Rs 1,400 crore, including a renunciation premium of Rs 1000 crore. Under the deal, government is required to exit the company following a two-stage divestment process, involving a public offering of shares. It proposes to shed 25 per cent of its 45 per cent equity in the first phase and another 20 per cent during the second phase by 2004. Bureau Report
The public issue would be for sale of government's 25 per cent stake in Maruti, in which Japanese auto maker Suzuki Motor Corporation has 54.2 per cent stake.
The draft prospectus for the IPO was filed with market regulator Securities and Exchange Board of India (Sebi) on April 25. The foreign investment promotion board had recently granted a generic permission for participation of NRIs, OCBs and FIIs in the domestic offering.
Last year, government ceded control of Maruti to Suzuki following a Rs 400 crore rights issue. Suzuki acquired about four per cent equity in the company for a consideration of around Rs 1,400 crore, including a renunciation premium of Rs 1000 crore. Under the deal, government is required to exit the company following a two-stage divestment process, involving a public offering of shares. It proposes to shed 25 per cent of its 45 per cent equity in the first phase and another 20 per cent during the second phase by 2004. Bureau Report