This stock was the star performer of the day even as Sensex tanked 146 points

The Sensex and Nifty pared all their early gains to settle lower on Wednesday. However, there was one stock that held its ground all through the day, rising as much as 5.5 per cent and settling nearly 3 per cent higher. Needless to say, the stock was the top gainer on both Sensex and Nifty. 

It hit an intraday high of Rs 164.65, up 5.5 per cent on the BSE. The scrip then ended at Rs 160.30, up 2.7 per cent. 

The stock is none other than ONGC, whose board approved its exit from helicopter service provider Pawan Hans by selling its entire 49 per cent stake as it looks to cut debt and consolidate resources in core oil and gas business. 

Oil and Natural Gas Corp (ONGC) wants its interest to be clubbed with the 51 per cent government stake that is already on offer for sale, officials told PTI.

The Department of Disinvestment and Public Asset Management (DIPAM), which floated the offer for sale for government's 51 per cent stake in Pawan Hans twice in the last 10 months, is likely to issue an amended expression of interest (EoI) shortly.

Officials said ONGC is of the view that its investment in Pawan Hans is no longer strategic as it charter hires helicopters to ferry staff to its oil and gas locations, mostly in offshore, through competitive bidding.

Of the 22 helicopters it currently has on hire, just seven or less than a third are from Pawan Hans.

Pawan Hans owns a fleet of 46 helicopters.

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"The board of directors of ONGC, at the 308th meeting held on June 29, accorded its in-principle approval for exploring options for the restructuring of ONGC group companies including exiting some with a view to consolidating business," an official said. 

"The idea being to focus resources on core oil and gas exploration and production business and not scatter bandwidth of management in unrelated businesses," the official added.

Officials further said when the government had first floated an offer to sell its 51 per cent stake in October last year, ONGC made an offer to DIPAM that its 49 per cent stake be also sold on same terms.

At that time, the company was told to get its board approval.