The government will start the disinvestment process this fiscal by divesting shares in five companies whose proceeds will go to the National Investment Fund.While the government has already planned to offload 10% shares in Bharat Heavy Electricals (BHEL) and 7.5% shares in Maruti Udyog (MUL), it also proposes to dilute stake in three other companies including Hindustan Zinc (HZL), Shipping Corporation of India (SCI) and Engineers India (EIL), sources said.These proposals will come before the Cabinet Committee on Economic Affairs (CCEA) soon, with the funds raised by the sale of government equity will go to National Investment Fund which will be managed by public sector fund managers. Around 75% of the returns from the fund will be utilised for social sector projects while the rest will be for supporting public sector companies.The governments holding in Hindustan Zinc will stand at 29.54% after the strategic disinvestment. It disinvested 26% equity in the company in favour of Sterlite Opportunities and Ventures, a special purpose vehicle promoted by Sterlite Industries (India) and Sterlite Optical Technologies, at a price of Rs 445 crore.
