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State oil company ONGC may have a rights issue. It is planned to raise funds for Hindustan Petroleum Corporation’s green projects. Shares of Hindustan Petroleum Corporation rose over 7% on Thursday amid the news. On the fourth trading day of the week, the stock traded at Rs. 329.55 was reached. The stock surged 6.93% to Rs. It closed at 326.30.
What is the plan: According to news agency Reuters, Finance Minister Nirmala Sitharaman The US It comes after it announced plans this year to provide 300 billion rupees ($3.6 billion) in equity to help major state oil refiners shift to clean energy. Sources with direct knowledge of the matter said that the government is considering alternatives to Hindustan Petroleum. A source said the oil ministry is awaiting the finance ministry’s response on ONGC’s plan to launch a rights issue.
What is the Government’s share: Let us tell you that in the year 2018, the government sold its entire 51.1% stake in HPCL to ONGC, making the company a subsidiary. The government’s stake in ONGC is 58.93%. India’s other major state-owned refiners are Indian Oil Corp and Bharat Petroleum Corp. respectively Rs. 220 billion and Rs. 180 billion has announced plans to launch a rights issue. The government holds 51.5% and 52.98% stake in these two companies respectively.