Government to sell off pending stake in Maruti for Rs 23.68 billion

Government to sell off pending stake in Maruti for Rs 23.68 billion

The Indian government has finally confirmed that they are getting out of the India’s largest automaker Maruti Udyog by selling off the rest of their stake in the company.

The Indian government stands to make around Rs 23.68 billion through this deal which sees them selling its remaining 10.27 per cent stake in Maruti Udyog Ltd to banks and insurance companies.

They are selling the shares at a price tag of around Rs 796 per share.

The government received 36 bids from banks, insurance companies and mutual funds ranging between Rs 765 and Rs 850 a share. LIC would now become the second largest stakeholder in the company after Suzuki.

Secretary in the Department of Disinvestment P V Bhide said in a statement: “Suzuki officials have already given a go ahead to LIC for increasing its stake in the Maruti to over 10 per cent.”