New Delhi: The government of India will disinvest its residual stake in Maruti Udyog Ltd (MUL), India''s largest carmaker, by May this year. Government officials have said that the expression of interests (EoI) has been received and the share sale will have to be completed by mid-May.

The next step in the divestment process is the calling for financial bids.

Finance minister P Chidambaram and heavy industry minister Santosh Mohan Dev have held discussions on the sale of the 10.27 per cent residual stake. "The floor price has not yet been finalised. Experts will determine the price and time," Dev said, adding that another meeting will be held on the issue soon.

According to sources, the government hoped to get a premium over the current market price of Maruti, which closed at Rs795 on Friday on the Bombay Stock Exchange.

The decision to disinvest the government''s stake in MUL was cleared by the Cabinet Committee on Economic Affairs on December 21 last year.

The government''s stake holding as of now is 296,79,709 shares, of Rs5 each.

On February 22 this year, the government had invited an expression of interest for competitive bids. It had offered to sell all or part of its shareholding in MUL to the Indian public sector financial institutions, public sector banks and Indian mutual funds.