NALCO offer for sale opens; shares hit 52-week low, down 8%

The offer for sale of state-owned National Aluminium Company (NALCO) opened on Friday and shares plunged more than 8 percent in early trade to touch a new 52-week low of Rs 40.55 a share.

The government plans to sell more than 25.77 crore equity shares (10 percent equity) through an offer for sale (OFS), including base issue size of over 12.88 crore shares and additional shares for sale of over 12.88 crore (i.e. 5 percent equity each).

The government holds 87.15 percent stake in the company as of December 2012.

The stock fell for the second consecutive session due to lower floor price compared to Thursday's closing price. The floor price is fixed at Rs 40 a share, a discount of 9.6 percent to previous day's closing price.

At 09:30 hours IST, shares lost 7.01 percent to Rs 41.15 amid large volumes on Bombay Stock Exchange.
 
Trading volumes increased 3.5 times to 6,59,779 equity shares as against five-day average of 1,89,932 shares.

In the previous trading session, the share tanked 4.43 percent to Rs 44.25.