The divestment ministry on Tuesday favoured discounts to retail investors in the forthcoming public issues in six companies beginning with public float of IPCL on February 20.
"The government has always -- as in case of Maruti also -- wanted to reward small investors. But what extent of discount there is and whether there is a lock-in period all that will be in our proposal to the finance minister," Divestment Minister Arun Shourie told reporters when asked about the differential pricing in the forthcoming issues.
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"Do not hold me to a particular standard. We will have to craft the things in different ways," Shourie told reporters on the sidelines of Gartner Telecom Summit.
With IPCL public offering slated for February 20, Shourie said the price band would be announced after the close of the market on February 19, and that the roadshows were being flagged off in Mumbai on Tuesday.
"The price band will be announced on evening of February 19. As in case of Maruti, we do it at that time. I will report to finance minister to get his concurrence and guidance and then we will announce. We will do it after market closes," he said.
Shourie said the GAIL offering would take place in the domestic market.
"Due to time constraints and because the figures for divestment have already been included by the finance minister in his vote on account estimates for the budget deficit, it was decided that it will all be done in the Indian market," he said adding, "also this is the first flush, so reward the Indian investor."
Asked if the divestment ministry was hopeful of surpassing the divestment target for the current fiscal in view of the six public offers lined up, he declined to comment but said that SEBI chairman, the merchant bankers involved in the process as well as management of the companies like IPCL an CMC were 'confident' about the success of the floats.
Shourie said the schedule for the six public offers had been finalised, and rescheduling had been undertaken in case of ONGC and GAIL public offerings to ensure a good response.
"After discussions with SEBI and advisors to divestment, there is a change in GAIL and ONGC scheduling . . .it is a matter of detail," Shourie said.