Hindustan Copper Slumps 7% as Govt Announces Stake Sale Plan

Hindustan Copper shares plummeted by 7% in early trade on Tuesday as the government announced plans to sell up to 6% of its stake through an offer for sale (OFS). The floor price has been set at ₹514 per share, which represents a 10.4% discount from the previous close of ₹574.15 on the NSE.

The government has reserved 10% of the offer for retail investors and will allow them to bid on August 26 (Wednesday). Arunish Chawla, secretary at the Department of Investment and Public Asset Management (DIPAM), confirmed that the government will divest 3% equity in Hindustan Copper through the OFS, with an option to sell an additional 3% if there is oversubscription.

Hindustan Copper Limited is a Miniratna PSU under the Ministry of Mines and engages in mining, production, processing, and marketing of copper and related products. The government has so far raised ₹52,716 crore through PSU disinvestment this fiscal year.