India Rural Elec Corp share sale may raise $740 mln

NEW DELHI, Nov 4 (Reuters) - Indian lender Rural Electrification Corp (RURL.BO: Quote, Profile, Research) may raise up to 35 billion rupees ($740 million) through a share sale that is likely to be completed by the end of February, its chairman said on Wednesday.

The government has plans to divest a 5 percent stake in the company, and the company will also issue fresh shares comprising 15 percent of its equity, P. Uma Shankar told reporters at a conference.

The company could raise 32 billion to 35 billion rupees, going by current market conditions, he said. ($1=47.2 rupees) (Reporting by Nidhi Verma; Editing by John Mair)