The Centre was selling over 5.97 crore (59.7 million) shares, or 3.56 per cent stake, in NLC through an Institutional Placement Programme at a price band of Rs 58-60 a share.
Sources said mostly the Tamil Nadu-based state public sector units bid for the share sale and preference would be given to them while allotment as per exemption received from Securities and Exchange Board of India.
The issue received bids for over 6.12 crore (61.2 million) shares as against 5.97 crore (59.7 million) on offer as of 1100 hrs, as per data available on the BSE.
Earlier this month, market regulator Sebi had given go- ahead to the disinvestment department's proposal to give preference in share allotment to those PSUs located in states in which Neyveli's generating units were located.
Shares of NLC were trading at Rs 55, down 1.26 per cent over previous close on the BSE.
The Tamil Nadu government has been insisting that it would buy the entire central government stake that is being divested in the state lignite mining and power producing company and had written to Prime Minister
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