The government is understood to have fixed an offer price of Rs 400 per share for sale of 5.6 million shares through public offer route in Dredging Corporation (DCIL). While the issue has been oversubscribed 18 times, institutional investors have oversubscribed 23 times, sources said.The government expects to mop up around Rs 190 crore out of this issue. While retail investors would get 50 per cent of the shares, qualified institutional buyers would get the other half, sources said.Retail investors would be offered a 5 per cent discount over institutional bidders. The offer in Dredging Corporation was for 56 lakh shares constituting the government’s 20 per cent stake in the company. The issue closed on Thursday. Post offer, the government holding would come down to 78 per cent from the present 98 per cent.Kotak Mahindra Capital and Enam Financial Consultants were the lead managers to the 100 per cent book-building issue. A price band of Rs 385-400 per share was stipulated by government for the offer.Dredging Corporation is one of the six companies where the government is divesting equity to the public, hoping to raise a massive Rs 14,500 crore this fiscal. The government has already mopped up over Rs 1,700 crore through sale of residual equity in IPCL, CMC and IBP issues which closed recently.Public offers for Gail and ONGC have already been oversubscribed.
