MMTC's $96 million share sale fully covered

An auction of a 9.33 per cent stake in state-run trading firm MMTC Ltd was fully covered on Thursday, provisional data from the National Stock Exchange showed.

The government, which currently owns 99.3 per cent of MMTC, is selling 93.3 million shares in the company at a minimum bid price of Rs 60 per share. The sale kicks off government plans to raise Rs 40,000 crore through stake sales this fiscal year.

At the floor price, the sale will raise about $96 million.

By 3.25 p.m., the single-day auction had received bids for 97.35 million shares, or 1.3 times the shares on offer, at an indicative weighted average price of Rs 60 per share.

Final bid numbers will be available later on Thursday.

Copyright: Thomson Reuters 2013