Hindustan Copper came under pressure after the government launched an offer-for-sale (OFS) at a discount to the prevailing market price. The stock declined around 6%, with the government’s stake sale becoming the immediate trigger for selling pressure.
The government has been using stake sales in public-sector companies as part of its disinvestment programme. It has already raised around Rs. 52,716 cr. during the current fiscal year, according to the latest reported figures.
While the OFS can create short-term supply pressure on the stock, the company’s longer-term prospects remain linked to copper demand. Growing electrification, renewable-energy infrastructure and electric vehicles could support copper consumption over the long term.
