State-run miner Coal India’s Rs 5,000 crore offer opened for retail investors today, with analysts suggesting that this is a decent opportunity for retail investors to enter into the stock for a long term basis.
The company on Tuesday had announced that the government aims to sell 6.16 crore equity shares , representing 1% of Coal India’s total paid-up equity capital, as the base offer size. The government also retains an oversubscription option to sell an additional 6.16 crore shares, taking the total potential offer size to 12.32 crore shares or 2% equity. At the floor price of Rs 412 per share, this would be worth more than Rs 5,000 crore.
