"We have been asked (by the government) to be prepared for the follow-on public offer (FPO). The company board is meeting on August 29 to approve the consolidated accounts. Thereafter the red herring prospectus (RHP) will be filed with (market regulator) SEBI."

The above statements were released by a senior official of State-owned Oil and Natural Gas Corp ONGC today while he was announcing about company’s filing of papers for Rs. 12,000 crore share sales, which could take place early next month.

The senior official of the company also added in his statement that the company may also file RHP for the FPO by early next month. Aug 29 has been scheduled for the meeting and in this meeting the board will also finalize the RHP that will be incorporating financial results for the April-June quarter.

As per reports, government has plans of selling 5% of 427.77 million shares through the FPO, which according to the calculations at today's trading price of Rs. 280 per piece will fetch approx Rs. 11,977 crore.

Because it is a government’s share sale, ONGC is all set for the FPO and is now awaiting directions from the Department of Disinvestment, said the official in his statement.