Government to sell 5% in Concor tomorrow, to get Rs 1,165 crore

NEW DELHI: Government will tomorrow sell 5 per cent stake in Container Corporations of India ( Concor) at a minimum price of Rs 1,195 a piece, to garner Rs 1,165 crore.

The floor price set for the offer for sale (OFS) is at a discount of 2.58 per cent over today's closing price of Rs 1,226.65 of Concor on the BSE.

"The government will sell 5 per cent stake in Concor through an offer for sale at a floor price of Rs 1,195 tomorrow," a source said.

The sale of 97.48 lakh shares at this floor price would fetch about Rs 1,165 crore to the exchequer.

Concor will be the seventh disinvestment of the fiscal and will help government inch towards the revised disinvestment target of Rs 25,000 crore.

Government holds 61.80 per cent stake in the logistics company which is under the administrative control of the Railways Ministry.

Concor provides logistics support such as Inland Container Depots, Domestic Container Terminals, transportation by rail and road, warehousing, storage and other value added solutions.

The government has already raised over Rs 18,000 crore through stake sale in 6 PSUs -- IOC, NTPC, EIL, PFC, REC and Dredging Corporation.

In the revised estimates, the government has lowered the disinvestment target for current fiscal to Rs 25,000 crore from budgeted Rs 41,000 crore.