ONGC OFS: Institutional portion over-subscribed with Rs 4,854 crore bids

NEW DELHI: The government’s sale of 1.5 per cent stake in ONGC on Wednesday saw institutional buyers putting in bids worth Rs 4,854 crore — three and half times their quota — but the company’s share took a beating on stock exchanges, falling 5.14 per cent and eroding shareholders’ value.
The government is selling 9.43 crore equity shares in India’s top oil and gas producer at a floor price of Rs 159 apiece, with an option to retain an equivalent amount of over-subscription.
The two-day Offer-For-Sale (OFS) was opened to institutional investors on Wednesday. Against 8.49 crore shares reserved for non-retail investors (16.98 crores together with greenshoe option), 30.35 crore shares or 357.44 per cent more, were sought, according to stock exchange data.