STORY
India's government plans to cut its stake in Rashtriya Chemicals and Fertilisers ( RCF ) through a follow-on share sale planned in the third or fourth quarter of the next financial year starting April, a top official said.After the stake sale, the government's holding in the state-run firm could fall by 12.5-17.5% from 92.5%, RG Rajan, chairman and managing director, told reporters late on Friday.
"We have started the process and we are talking to the government to finalise how much equity is to be sold, as there are regulatory guidelines to be met," Rajan said.
Rajan, however, declined to comment on how much the government would raise through this share sale.
The market values the firm at USD 810.2 million.
The fertiliser firm is also exploring the possibility of setting up urea manufacturing units in Ghana and Indonesia with local partners, Rajan said.
Shares of the company, which have fallen 29% since the start of 2011 compared to a 21% fall on the main index, ended 2.35% down at Rs 72.8 on Friday.