MOIL allotment done, to be listed on Dec 15th

The state-run company MOIL has completed its allotment process and is now most likely to be listed on both the stock exchanges
on Dec 15th 2010.

Government has all the plans to raise Rs. 40,000 crore from PSU divestment and half of the amount has already been collected with the companies like Satluj Jal Vidyut Nigam, Engineers India, Coal India and Power Grid going public.

In the recent past the PSUs have come up with their public issues and some have even given follow-on offers to collect the money they intended to, now the 5th company in the line is MOIL which was previously called Manganese Ore Ltd.

The Public Sector Company was open for application on 26th and the closing date was 1st Dec. A much empowered group of Ministers have come together for its public issue.

The Government
is divesting its 10% stake in the company while both Madhya Pradesh and Maharashtra are giving off 5% participating interest from MOIL. The IPO was trying to collect a decent sum of 1,260 crores at Rs.375 per share but later the price band was fixed at Rs.340-375.

The Home Minister P Chidambaram and planning commission deputy chairman Montek Singh Ahluwalia were in presence when the group of ministers headed by Finance Minister Pranab Mukherjee decided on the offer price of the issue. The price band was set on Rs.340-375 for MOIL IPO which was considered appropriate and the investor’s response to the issue was immense too.

The Initial Public Offer of MOIL has seen a very good response and the subscription was that of 56 times more than the shares on offer. As of now the inside news is that the allotment is on completion and the listing of the company will be on 15th of this month only