The government has finalised its exit from Tata Communications by selling its complete 26.12 per cent stake in the company. As per the department of investment and public asset management (DIPAM), the government has netted Rs 88.46 billion in the process.
The government has divested its holding in Tata Communications through two step process. First, it sold 16.12 per cent in the company through an offer for sale at Rs 54.57 billion. This was followed by sale of the remaining 10 per cent stake to strategic partner at offer for sale discovered price for Rs 33.89 billion.
The government sold its 10 per cent stake in Tata Communications to Panatone Finvest Limited.
Prior to this transaction, the government of India held 26.12 per cent stake in Tata Communications. Meanwhile, Panatone Finvest held 34.80 per cent, Tata Sons 14.07 per cent and the remaining 25.01 per cent was with the public.
The stake sale is part of the government’s disinvestment process. The government has set a target to realise Rs 320 billion in this fiscal.