New Delhi: Government on June 11 exuded confidence that the public offer of Maruti Udyog Ltd (MUL), which is opening on June 12, would set the tone for disinvestment in other PSUs (Public Sector Undertakings) -- Nalco and Bharat Petroleum Corporation Ltd (BPCL) -- through IPO route.

"I hope it will be successful, and then the effect on Nalco and BPCL would be good. Even on primary market there will be a good effect. The primary market will be strengthened," Disinvestment Minister Arun Shourie told reporters in New Delhi.

Citing the basis for his enthusiasm about the response to MUL IPO, Shourie said Maruti, perhaps, was one of the rare case in a competitive segment capturing the majority market with more than 55 per cent share despite the presence of a dozen renowned auto companies around the world.

He said that the Suzuki Motor Corporation (SMC) had shown tremendous confidence in Maruti and added, "We should build on their confidence".

Shourie's comments on Maruti come a day ahead of opening of the IPO involving sale of 7.2 crore shares.

Maruti's IPO which would be conducted through a book-building route would open on June 12 and close on June 19.

PTI