Hindustan Copper Shares Plunge Up to 8% Amid Government's OFS Move

Hindustan Copper shares plummeted up to 8% on Tuesday following the government's decision to launch an offer for sale (OFS) of up to a 6% stake in the state-owned copper producer.

The stock hit an intraday low of Rs 529.35 per share on the NSE, down 7.8%. The OFS floor price of Rs 514 per share represents a discount of around 9.5% to the company's previous closing price of Rs 567.90.

Market analyst Mayank Jain from Share.Market by PhonePe attributed the decline to temporary supply absorption and short-term market overhang rather than a change in the company's business fundamentals.

Jain pointed out that long-term demand for copper remains exceptionally strong, driven by rapid expansion across electric mobility, power infrastructure, data centers, and renewable energy transitions. The company reported a 163% year-on-year rise in net profit to Rs 352.61 crore in the first quarter of FY27.

Hindustan Copper is India's only listed pure-play copper producer, giving investors direct exposure to copper demand and the broader energy-transition theme.