Govt expects to garner Rs 977 cr from EIL disinvestment

NEW DELHI: The government expects to mop-up Rs 977 crore from the 10 per cent disinvestment in state-run Engineers India Limited (EIL).

"We expect to mop-up Rs 977 crore from EIL disinvestment," Disinvestment Secretary Sumit Bose told reporters at EIL press conference on its follow-on-public offer.

EIL's public offer of 33.69 million equity shares opened today and will close on July 29 for qualified institutional buyers and on July 30 for the rest (retail and HNIs).

The government has set Rs 270-290 as the price band for the follow-on public offer.

The government holds 90.4 per cent stake in EIL, which provides design and engineering services for petroleum, power and fertiliser companies.

Post FPO, government holding in EIL will fall to 80.4 per cent.