The Centre will divest its 5 per cent stake in Indian Petrochemicals Corporation Ltd to the employees of the company at one-third of the final price of the ongoing public issue. The employees stock option will have a lock-in of three years.

IPCL senior executive president (marketing) J B Kamat, said a formal announcement of the employees' scheme is expected to be declared after the closing of the on-going public issue.

The ongoing book built issue, through which the government has put its 29 per cent stake in IPCL up for sale, will close on February 27.

It will take at least another week, beginning February 27, to conclude formalities of the issue, including allotment of shares and refund of money to bidders in case of unsuccessful bids.