This comes after recent stake sales in Coal India and NHPC, with another large LIC divestment also in the pipeline.
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Dado Ruvic
India is considering selling as much as a 2% stake in Hindustan Zinc Ltd. in a transaction that could raise up to 50 billion rupees ($525 million), according to people familiar with the matter.
The Department of Investment and Public Asset Management, which is under the Finance Ministry, aims to launch the process this month or in July, the people said, asking not to be identified because the information is private.
ICICI Securities Ltd., Axis Capital Ltd., IIFL Capital Services Ltd. and HDFC Securities Ltd. are advising the government on the transaction, the people said.
Deliberations are ongoing and details of the offering, including its timing and size, could still change, the people said. Representatives for DIPAM, Hindustan Zinc and the banks didn’t immediately respond to requests for comment.
The government has stepped up efforts to boost revenue from selling stakes in state-owned assets. Last week, it raised about $531 million from the sale of a 2% stake in Coal India Ltd., the country’s largest coal producer. Earlier this week, India raised $450 million by selling a 6% stake in NHPC Ltd. It’s also planning an offering of a 2% stake in Life Insurance Corporation of India that could raise as much as 100 billion rupees ($1 billion), people familiar with the matter have said.
The government last sold a 1.6% stake in Hindustan Zinc in November, raising about 35 billion rupees. The shares were priced at 505 rupees each. Since then, the stock has gained about 24%, increasing the value of the remaining holding. Vedanta Ltd., the company’s controlling shareholder, owned 60.71% of Hindustan Zinc as of March 31, while the government’s holding stood at 27.92%, according to stock exchange filings.
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Published on June 5, 2026
