Shardul Amarchand Mangaldas & Co. Advises in Relation to Rs. 1,193 Crore OFS of NALCO

Shardul Amarchand Mangaldas & Co. (SAM & Co.) acted in relation to the Rs. 1,193 Cr. Offer For Sale (OFS) of National Aluminium Company Limited (NALCO). The OFS transaction involved a sale of up to 7.37% stake in NALCO, by the President of India acting through the Ministry of Mines, Government of India (“Seller”).

The Capital Markets Practice of Shardul Amarchand Mangaldas & Co. acted as the counsel to the Seller’s Brokers as to Indian law. The team was led by Mr. Sayantan Dutta, Partner; and included Ms. Shraddha Krishnan Dash, Senior Associate; and Mr. Devi Prasad Patel, Associate.

This was one of the first OFS transactions announced after the SEBI notified the circular dated February 15, 2016 pursuant to which the OFS trades were split over two trading days and where an oversubscription option was exercised by the Seller on the first day on which the OFS took place (i.e. T day). The OFS trades took place on April 19, 2017 (for non-Retail Investors) and April 20, 2017 (for Retail Investors and non-Retail Investors who chose to carry forward their un-allotted bids). Pursuant to the oversubscription option, the Seller offered an additional 8,14,23,483 Equity Shares in response to the oversubscription in the non-retail category on T day and to retail investors  on T+1 day (i.e., second day on which the OFS took place).

As a part of the transaction, an aggregate 17,80,69,927 equity shares of Rs. 5 each, constituting 7.37% of the total paid-up share capital of the NALCO were sold. The transaction comprised of a base offer size of 9,66,46,444 equity shares and an additional 8,14,23,483 equity shares offered by the Seller pursuant to the exercise of an oversubscription option.

The parties involved in the transaction were The President of India, acting through the Ministry of Mines, Government of India, as the Seller; and Edelweiss Securities Limited, ICICI Securities Limited, Deutsche Equities India Private Limited and SBICAP Securities Limited, as the Seller’s Brokers (collectively, the “Seller’s Brokers”)

About Shardul Amarchand Mangaldas & Co.

Established again in 2015, Shardul Amarchand Mangaldas & Co., is one of India’s leading law firms rated by International organisations, law directories and professional journals. As a full service law firm, Shardul Amarchand Mangaldas is renowned in the business community for its ability to enable business, its innovative solutions, responsiveness and collaboration with its clients. The Firm continues its journey as “a young and wise firm” in its “Centenary Year of Excellence”.

Currently, the Firm has over 450 lawyers, including 85 Partners, offering legal services through its offices at New Delhi, Mumbai, Gurgaon, Ahmedabad, Kolkata, Bangalore and Chennai.