Hindustan Copper OFS Opens for Retail Investors; Stock Surges

Hindustan Copper’s Offer For Sale (OFS) became accessible to retail investors on Wednesday, propelling its stock price to rise over 3% in early trading. The public sector undertaking’s shares climbed by as much as 3.48% to Rs 551.80 per share on the BSE.

Institutional Demand Surges

The OFS had already garnered substantial interest from non-retail investors, achieving a subscription rate of 3.41 times on Tuesday. The government received bids for 8.91 crore shares, significantly exceeding the 2.61 crore shares initially offered in the base issue.

• Bids received for non-retail investors: 8.91 crore shares
• Shares offered in base issue: 2.61 crore shares
• Subscription rate for non-retail: 3.41 times

Following this robust institutional demand, the government opted to fully exercise the green shoe option. This decision expanded the total potential stake sale from an initial 3% to a full 6%.

OFS Details for Retail Investors

The floor price for the Hindustan Copper OFS has been fixed at Rs 514 per share. A specific reservation of 10% of the base issue is designated for retail investors, defined as those with an authorized share capital up to Rs 2 lakh.

• OFS Floor Price: Rs 514 per share
• Retail investor reservation: 10% of base issue
• Shares reserved for eligible employees: 25,000

According to the company’s June quarter shareholding pattern, Hindustan Copper had 12.78 lakh retail shareholders, collectively holding a 17.79% stake. By 9:50 AM, Hindustan Copper’s share price was trading 2.48% higher at Rs 546.45 apiece on the BSE.