Shares of Cochin Shipyard were in high focus in Wednesday’s session as the firm is reportedly set to offload a stake in the defense PSU through the for sale (OFS) channel. Through OFS, about 2.5 percent or 65.77 lakh shares will be issued.
The stock during the day’s low hit the price of Rs 1,590, a reduction of 5 percent, while at around 10:37 am it was trading weaker by more than 3 percent.
For the green shoe option, the government may look to sell another 2.5 percent stake in the company.
OFS will remain open between October 16-17.
The floor price of OFS is set at Rs 1,540 per share, a discount of 7.89 percent to Tuesday’s closing price of Rs 1,672 apiece.
Initially, the retail offering will be open to the non-retail investor category, with subscriptions for the investor and employee category opening on Thursday.
According to Bloomberg data, few PSUs trade at very high market capitalizations relative to their profits, net worth or assets.
About Cochin Shipyard
The company is a mid-sized PSU that is engaged in ship building and repair.
Cochin Shipyard’s lowest share price
The stock in the past one year has gained 225 percent. While, in 1 month it lost 8 percent.