New Delhi:The Government has launched the fourth tranche of the Bharat-22 Exchange Traded Fund (ETF) on Thursday, aimed at mopping Rs 8,000 crore from investors.
The issue opens for anchor investors on Thursday and for other institutional and retail investors, the next day, according to a scheme information document filed by ICICI Prudential Mutual Fund, which manages Bharat-22 ETF.
An advertisement by ICICI Prudential MF said: "Government shall disinvest the shares of non-financial sector CPSEs and public sector banks forming part of the S&P BSE Bharat 22 index through this Further Fund offer 2 (FFO-2) to the extent of shareholding of GoI post disinvestment is maintained up to 51.5% of the paid-up share capital of those CPSEs and 52% of the PSBs."
It further said that the government shall not disinvest further shares of ITC Ltd or REC Ltd which forms part of the Bharat 22 Index. The investors would get a 3 per cent discount over the issue price, the ad said.
"The offer is likely to have a base issue size of Rs 2,000 crore, with a greenshoe option to retain another Rs 6,000 crore, taking the total amount to Rs 8,000 crore," according to sources.
The decision has been taken after receiving a robust response for earlier stake sale by the government in the product.