SAIL OFS closed on Friday, after seeing huge response from the institutional and retail investors, has seen having dried up, practically the entire retail float of the market. This can butcher the Bears, more than what we have seen in Vedanta. Read the data carefully.
SAIL total issued equity shares are at 413.04 crore. Of this, Promoter (Govt of India) is holding 309.78 crore shares and 103.26 are held by the Non Promoter. Of this 103.26 cr shares, 70.80 cr shares are held by the institutional investors, (MF, FII, LIC holds 42.28 cr share), while 32.46 cr shares are held by the retail shareholders.
In last 2 days, SAIL saw delivery volume of 25.17 cr. shares on NSE & BSE, (11.75 cr shares on 15th Jan and 13.42 cr shares on 14th Jan), which implies that 78% of 32.46 cr shares held by the retail, having been mopped up. In such an old company, 7 cr shares are generally held by the passive shareholders. Obviously LIC and other big investors would not have sold any shares in last 2 days at sub Rs.70. Of 41.30 cr shares in OFS, 36.14 cr. Shares got apportioned to the institutional investors, which are most likely, may not come for selling in the near term, as some part of it may have been acquired by LIC as well.
Apart from that, in January Series, there is Open Interest (OI) of 14.22 cr shares and in February series, OI is of 3.64 cr shares. Of total 17.86 cr OI, 9.80 cr OI built on Friday, thus share moving in F&O ban. This means, OI of 17.86 cr shares has long and short position of same quantity. This may play as most bullish factor, as, if OI is not rolled over by the Bulls, from January to February series, will see compulsory delivery, which may make share zoom in this month itself.
SAIL ke share ab SALE par nahi hai. Share ko ab dhoondhate rah jaoge.