New Delhi, September 5
State-owned Bharat Petroleum Corp Ltd (BPCL) has supplied its staff inventory choices at one-third of the market value as the corporate appears to reward employees forward of its privatisation.
The board of BPCL on Friday “approved the proposed Employee Stock Purchase Scheme (ESPS) to the specified employees through the trust mechanism, subject to the approval of the shareholders”, the corporate mentioned in a regulatory submitting.
While BPCL didn’t give particulars, a supply with direct information of the event mentioned ‘BPCL Trust for Investment in Shares’ holds round 9.33 per cent stake of the corporate’s paid-up share capital.
Of this, 2 per cent will probably be supplied to staff at one-third the worth of BPCL scrip within the previous six months, he mentioned.
There will probably be no change in authorities’s shareholding within the firm.
The authorities is promoting all of its 52.98 per cent stake in BPCL to a strategic investor. Expression of Interest (EoI) for the privatisation is due on September 30.
“The Trust formed for the purpose shall purchase the aforesaid shares from the ‘BPCL Trust for Investment in Shares’ by way of secondary acquisition through the stock exchanges as per the SEBI (Share Based Employee Benefits) Regulations, 2014 and other applicable laws,” the corporate mentioned within the regulatory submitting.
The supply mentioned the variety of shares to be supplied below the ESPS will rely on the grade of the worker and even administrators on the corporate board can be eligible for the supply.
There will probably be a one-year lock-in interval for the shares that staff purchase below ESPS, he added.
BPCL, he mentioned, has not but selected what to do with the residual 7.33 per cent stake held by the Trust.
‘BPCL Trust for Investment in Shares’ is an unbiased entity, of which the corporate BPCL is a beneficiary.
ESPS will probably be executed in strict compliance of the SEBI norms, the particular person mentioned including BPCL will search shareholders’ approval for the scheme at its upcoming annual normal assembly (AGM) later this month.
After shareholders approve, BPCL will make a former supply to staff.
BPCL closed at Rs 403.40 per share on the BSE on Friday.
Last month, it supplied a voluntary retirement scheme (VRS) to a few of its staff as a part of the deliberate privatisation.
About 1,200 staff are prone to be given VRS, the supply mentioned.
BPCL stake sale is essential to assembly authorities’s report Rs 2.1 lakh crore divestment goal for the present fiscal. PTI