Oil India, a government-owned company that explores, develops and produces oil and gas, has received its board's approval to buyback 5.60% of its paid up share capital for a consideration of Rs 15.27 billion.

The company's board has approved the buy back at Rs 340 a share. The board aims to buy back up to 4.49 crore shares of the company. As the promoter, the government currently holds 53.61 crore shares totalling 66.89% of Oil India.

The Centre hopes to raise Rs 450 billion from disinvestment of public sector units this fiscal. Till now, it has raised close to Rs 400 billion through measures including buybacks, stake sales as well as exchange traded funds.

Shares of the company declined Rs 3, or 0.9%, to trade at Rs 331.00. The total volume of shares traded was 11,457 at the BSE (10.34 a.m., Tuesday).