Mumbai: Shares of Rural Electrification Corporation Ltd Tuesday ended nearly 5 percent lower after the government announced to sell 5 percent of its stake tomorrow in the company to mop up close to Rs 1,600 crore.
After falling 4.57 percent to Rs 320.25 in intra-day trade on the BSE, shares of REC finally ended at Rs 321.65, down 4.16 percent.
On the NSE, it fell by 4.61 percent to close at Rs 320.60.
In terms of volume, 8.79 lakh shares of the company changed hands at the BSE and over 57 lakh shares were traded at the NSE during the day.
The government will sell 5 percent stake in Rural Electrification Corporation on April 8 to mop up close to Rs 1,600 crore, marking the first disinvestment of the current fiscal.
Taking the offer for sale (OFS) route, government will sell over 4.93 crore REC shares.
"The offer shall take place during trading hours on a separate window of the stock exchanges and shall commence on April 8," REC had said in a filing to the BSE yesterday.
The 5 percent share sale would fetch about Rs 1,600 crore to the exchequer.
