As part of its divestment process, the government is considering a two phase follow-on public offer (FPO) in Steel Authority of India (SAIL). It will offload 10% in the first tranche, which will fetch it Rs 8,000 crore. The first tranche is likely to occur this fiscal while the second tranche might happen in FY11.
Commenting on the same, Steel Secretary PK Rastogi says the SAIL divestment proposal includes government sale and a fresh issue. "The Centre will divest 10% in SAIL via government sale, fresh issue."
He says the first phase of the FPO will meet the expansion plans of SAIL.
