Government plans HUDCO and NBCC share sale

The government is planning to sell up to 10 per cent stake each in real estate firms HUDCO and NBCC as also 3 per cent in NTPC through an offer for sale (OFS), which could fetch about Rs 5,900 crore to the exchequer. The finance ministry will soon float Request for Proposals (RFP) to appoint merchant bankers for managing the stake sale of HUDCO and NBCC, a source said. "The Cabinet has cleared up to 10 per cent stake sale in NBCC and HUDCO through OFS. Whether it would be sold in one go or not would be decided based on investor response," the source told . At the current market price, sale of 10 % in HUDCO and NBCC could fetch about Rs 1,000 crore and Rs 1,200 crore to the exchequer. NTPC's 3 per cent OFS would fetch about Rs 3,700. The Cabinet had already approved 10 per cent stake sale in power producer NTPC, of which 7 per cent was sold in August last year. The stake sale fetched Rs 9,100 crore.