SCI's Rs1,300-crore follow-on share sale to open on 30 November
19 Nov 2010
Shipping Corporation of India's Rs1,300-crore follow-on public offer of shares will open for sale on 30 November. Subscription for the institutional portion will close on 2 November and for other investors on 3 November.
SCI, the country's largest shipping company, today filed a draft red herring prospectus with the registrar of companies for the follow-on public offer.
The issue comprises of an offer for sale of 42,345,365 of its existing equity shares and a fresh issue of 42,345,365 equity shares by company. Of the total, the public offer comprises of a net issue of 84,267,276 equity while up to 423,454 equity shares are reserved for subscription by eligible employees of SCI.
Post issue, the government's holding in SCI will come down to 63.75 per cent from the existing 80.12 per cent.
SCI proposes to use the proceeds of the issue for expansion, which also includes entry into port and terminal management in joint venture with a global company.
SCI had a net owned fleet of 74 vessels of a total 5.11 million dead weight tonnage (DWT) as of 30 September 2010.