Wednesday, January 26, 2011

ONGC FPO Likely on March 15

ONGC FPO is likely to hit market by March 15. ONGC will file a red herring prospectus (RHP) by February 20. The government plans to raise Rs 13,000 crore (Rs 130 billion) through sale of 5% stake in ONGC.

"A tentative schedule has been drawn for the follow-on public offer, as per which the first road show will be held in Chennai on February 2 and the public offer will hit the market on March 15," the official said after the kick off meeting of the FPO on Monday.

Government's Shareholding in ONGC would come down to 69.14% from the current 74.14% after FPO. As a precursor to the share sale, ONGC will split equity shares with a face value of Rs 10 each into two shares of Rs 5 each.

For FPO ONGC has appointed two international auditors DeGolyer and MacNaughton and Gaffney, Cline and Associates to certify the company's oil and gas reserves.