Coal India board to discuss share buyback
KOLKATA: The board of directors of Coal India will consider a proposal to buy back its shares at a meeting scheduled on July 11. CIL is likely to place a proposal to buy back 25 per cent of its equity capital along with free reserves that would fetch the government close to Rs 6,000 crore.
At present the government holds a shade over 80 per cent in Coal India while the rest is held by financial institutions and public shareholders. Following the buy-back government’s stake in the company in likely to decline by 2-3 per cent depending on the quantum subscribed by financial institutions and general public.