Hindustan Zinc Shares Plummet on Government Stake-Sale Buzz

Hindustan Zinc shares fell nearly 3 percent on August 25 amid renewed expectations that the government could pare its stake in the company through an Offer for Sale (OFS), after launching a stake sale in Hindustan Copper.

The decline comes as the government is looking to sell around 1.5 percent in Hindustan Zinc, which at current market levels, could fetch roughly Rs 3,500-4,000 crore, depending on the final offer size and pricing.

Hindustan Zinc has a market capitalization of over Rs 2.48 lakh crore and is one of the world's major integrated zinc producers with significant exposure to silver.

Weakness in silver prices also weighed on sentiment for Hindustan Zinc stock on Tuesday, as spot silver was down 1.3 percent at $68.01 an ounce.