PIB Press Release dated 15 June 2010- Disinvestment of 10% paid-up equity capital in Coal India Ltd. (CIL) out of Government of India shareholding of 100%
The Cabinet Committee on Economic Affairs (CCEA) approved the proposal for disinvestment of 10% equity of the Coal India Ltd. out of its holding of 100% through book building process in the domestic market. 1% of the equity will be offered to the employees of CIL and its eight subsidiaries. The CCEA has also decided to allow 5% price concession to the retail investors in order to encourage greater public ownership of the PSE.
The CCEA also approved a 5% concession to the employees of the company and its subsidiaries to encourage them for becoming stakeholders in the company. After this disinvestment, Government of India’s shareholding in the company would come down to 90%.
Coal India Ltd. (CIL), a CPSE, is a Navratna Company engaged in production and marketing of coal and coal products. At present, the paid-up equity capital of the company is Rs. 6,316.36 crore and the Government of India holds 100% of the equity in the company.
Link is being provided for easy reference to CIL website: