The shares of NMDC Limited were trading in green till Friday afternoon at Rs 120 levels. The stock is under the radar of investors after the government made announcements regarding a stake sale of the company.
The government has invited preliminary bids for the strategic sale of NMDC’s Nagarnar Steel Plant. The last date for submitting bids is January 27, 2023, while the last date for submitting queries is December 29, 2022.
NISP is soon going to get demerged from NMDC and be a separate company- NMDC Steel Ltd (NSL). The shares of the company are set to be listed on BSE, NSE, and Calcutta Stock Exchange.
The government of India will hold a 60.79 percent stake in the newly formed company while the remaining 39.21 percent stake will be with the public.
Thereafter, GoI, via DIPAM, shall divest its 50.79 percent shareholding in NSL along with management control to a strategic buyer through a two-stage competitive bidding process.
NMDC Limited is a central public sector undertaking involved in the exploration of iron ore, copper, rock phosphate, limestone, dolomite, gypsum, bentonite, magnesite, diamond, tin, tungsten, graphite, coal, etc.
NMDC’s Production for November stood at 3.61MT which increased from 3.34MT YOY in Nov 2021. The Sales stood at 3.04MT for Nov’22 which also increased from 2.88MT YOY in Nov 2021.
The PSU company has a market capitalization of Rs 35,225 crore and a high dividend yield of 12.25%.
Written by Anoushka Roy
