Indian Oil Corporation (IOC) sold 10 percent of government stake (for 5340 crore rupees) to the Oil India Limited (OIL) and Oil and Natural Gas Corporation (ONGC) on 14 March 2014. Earlier, government shareholding in IOC was 78.92% which has now reduced to 68.92 percent.
The aim of this deal was to encourage the disinvestment programme by the government of India. Till date, overall disinvestments have raised about 10434 crore rupees. This transaction was an Off-market transaction. Both the OIL, ONGC together bought 5 percent stake each at 220 rupees per share. This was for the first time for OIL to hold shares in IOC whereas, ONGC’s holding in IOC increased to 13.77 percent from 8.77 percent.