InvestorQ : What exactly is an offer for sale?
Niraj Mehta made post

What exactly is an offer for sale?

2 years ago

An Offer for Sale (OFS) mechanism has been introduced to facilitate promoters to dilute/offload their holding in listed companies. A separate window is being provided by the Exchange for the same. An OFS is the most popular among the PSU companies where the government uses the OFS route to divest its stake in these companies so as to raise funds for their disinvestment program to reduce the fiscal deficit. Some private companies like the Narayana Hrudayalaya of Devi Shetty also did an IPO cum OFS where the promoters divested part of their stake.