Disinvestment of 10 per cent paid-up equity in the Indian Oil Corporation (IOCL) has been approved by the Cabinet Committee on Economic Affairs, as per the government's disinvestment policy. The disinvestment will be through Offer for Sale (OFS) method in the domestic market according to the SEBI rules and regulations. After this disinvestment, the government shareholding in the company would come down to 68.92 per cent, after deducting the 10 per cent in the present equity capital holding of 78.92 per cent.
The paid up equity capital of the company, as on March 31st, was Rs 2,428 crore. The government holds 78.92 per cent of the paid up capital in IOCL. The IOCL is a 'Maharatna' Public Sector Undertaking under the administrative control of the Ministry of Petroleum & Natural Gas. It is the highest ranked Indian corporate in the prestigious Fortune `Global 500` listing with a ranking of 83 for the year 2012.
IOCL is primarily engaged in refining, transportation and marketing of petroleum products and petrochemicals with an installed refining capacity of 54.2 million metric tonnes. It has a pipeline network over 11,000 kilometers and marketing infrastructure of over 39,000 customer touch points. IOCL is also now venturing into exploration and production of crude oil and distribution of natural gas.