Hindustan Copper shares fall after government's ₹514 OFS floor price announcement.
Hindustan Copper shares saw their steepest fall in five months, dropping significantly after the Indian government announced an Offer for Sale (OFS) with a floor price set at ₹514 per share. This price represents a discount of over 10% compared to the stock’s closing price on Monday.
The government is offering up to 5.8 crore shares of Hindustan Copper, including the green-shoe option, as part of its disinvestment strategy. The substantial discount offered in the OFS has triggered a sell-off, leading to the considerable decline in the company’s stock value.
This move by the government aims to divest its stake in the public sector undertaking, Hindustan Copper, a key player in India’s copper mining industry. The discount is likely intended to attract investors and ensure the success of the OFS, but it has negatively impacted the market sentiment around the stock in the short term.
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