India-based Punjab National Bank (PNB) has announced plans to sell 6% stake in its housing finance unit through an offer for sale.
The lender intends to offload up to 9,994,000 equity shares of PNB Housing Finance, at a floor price of INR1,325 per share. The offer for sale, part of its strategy to dispose non-core assets, is expected to fetch the bank INR13.24bn ($205m).
The bank said in a regulatory filing that the offer for sale will be open “on November, 28, 2017 (for non-Retail Investors only) and on November, 29, 2017 (for Retail Investors and for non-Retail Investors who choose to carry forward their bids).”
The latest move by PNB follows the initial public offering (IPO) of the housing finance arm last year. Following the IPO, PNB’s stake in the unit reduced from 51% to 38.86%.