Insta
Govt Plans To Sell 20 Per Cent Stake In National Fertilizers Limited Through Offer For Sale
National Fertilizers Ltd logo (Pic Via Wikipedia)
Centre plans to sell 20 per cent stake in National Fertilizers Ltd (NFL) through 'offer for sale'.
The Department of Investment and Public Asset Management (DIPAM) has invited tenders from law firms with experience and expertise in public offerings and OFS in capital markets to act as legal advisers and assist the government in the process. It has also sought tenders from merchant bankers for the sale process.
"The GoI intends to disinvest 20 per cent paid up equity capital of NFL out of its shareholding of 74.71%, through 'Offer for Sale' (OFS) method of shares by promoters through the stock exchanges' as per Securities and Exchange Board of India (SEBI) Rule and Regulations," said a notification by the department.
Further, the Centre is also considering allotting shares to eligible and willing employees of NFL at a discount on the issue or discovered price -- lowest cut off price -- up to a maximum of certain percentage of the OFS size subsequent to completion of the transaction under OFS. The percentage and extent shall be decided in due course.
The deadline for submission of bids for both legal adviser and merchant banker for the OFS ends at 3 p.m. on March 2.
Incorporated on 23 August 1974, National Fertilizers is a Mini Ratna company with an authorised capital of Rs 1,000 crore and a paid-up capital of Rs 490.58 crore out of which Government of India (GoI) holds 74.71 per cent shares and 25.29 per cent shares are held by financial institutions and others.
The company employed 3,339 regular employees as on 31 March 2020.
It has five gas-based ammonia-urea plants -- Nangal and Bathinda plants in Punjab, Panipat plant in Haryana and two plants at Vijaipur (District Guna), in Madhya Pradesh.
The company currently has a total annual installed capacity of 35.68 LMT of Urea (Re-assessed capacity of 32.31 LMT) and is the second largest producer of Urea in the country with a share of about 15 per cent of total Urea production in the country.
NFL is engaged in manufacturing and marketing of Neem Coated Urea, Bentonite Sulphur, Bio-Fertilizers (solid & liquid), certified seeds and other allied Industrial products like Ammonia, Nitric Acid, Ammonium Nitrate, Sodium Nitrite and Sodium Nitrate.
Apart from manufacturing business, the company is also into business of imports and trading of various agro-inputs like Non-Urea Fertilizers (i.e. DAP, NPK, MoP etc.), Certified Seeds, Agrochemicals, Bentonite Sulphur, City Compost through its existing pan India dealers’ network under single window concept.
(With inputs from IANS)
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.
Latest
