The government has selected four investment banks for the proposed share sale in Housing & Urban Development Corporation Limited. These are Nomura, SBI Caps, ICICI Securities and IDBI Capital.

• The Department of Investment and Public Asset Management, the nodal agency under the finance ministry that coordinates the government’s disinvestment programme has selected Japanese investment bank Nomura, which quoted the lowest financial bids 5 core, and asked of a little over  the others to match the fee,

              according to a senior official of a leading investment bank that participated in the process. “The fee quoted by investment banks were for the entire cost of the public issue, which is going . 10 crore,“ the to be a little over ` official said. This in effect means that all the investment banks will end up losing money in the process, he said. There were nine bidders in the race.

• The government is planning to sell 10% stake in HUDCO, which is under administrative control of the urban development ministry, through an initial public offering. The proposed move is aimed at raising about  1,500 crore on a total valuation of  15,000 crore, the official said.

• “The government is starting with a mandatory 10% sale that will increased to 25% in the next three years through offer for sale route,“ the official said.

• HUDCO has a paid-up capital of  2,000 crore, comprising of 200 crore equity shares of  10 each. Under the proposed share sale programme, the government will sell about 20 crore shares. “The bankers have been told to file the prospectus in the next two to three months so that the issue cap be completed in the current fiscal itself.

• The government has set a disinvestment target of  56,500 crore for the current fiscal. Of this, . 36,000 crore is to be raised from  minority stake sale in state-run companies and   20,500 crore from strategic sale. So far, the government has managed to raise only . 3,183 crore from stake sale in  NHPC, employee subscription in IOC and NTPC disinvestment.