To becomes first state-run company to tap the market in past five years
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A quiet buzz appears to be building around the initial public offering (IPO) from the Housing and Urban Development Corporation Ltd (Hudco). The government fully owns Hudco and this will be the first offering from a public sector undertaking to hit the capital markets after a gap of five years; the last being National Buildings Construction Corporation (NBCC) in 2012.The government plans to sell 10.2 percent of its stake in Hudco, to raise Rs 1,224 crore through the offering, which opens on May 8. This will be an offer for sale, which means that the company will not receive any proceeds from the offering and there will be no sales of new shares. The IPO’s price band is Rs 56 to Rs 60 per share of face value of Rs 10 each.