Putting to rest the speculation about the sale of SUUTI’s (Special Undertaking of UTI) stakes in several listed firms including bluechips and the possible mode of these sales, the finance minister today said there is no proposal to sell stake as of now.
According to data provided by BS Research Bureau, SUUTI held more than 1 per cent stake in 19 firms. The holding is worth well over Rs 30,000 crore, enough to meet this year’s disinvestment target in one stroke. Bulk of this value comes from the undertaking’s holding in three blue chips : 11.54% in ITC Ltd, 8.27% in Larsen & Toubro and 23.58% in Axis Bank.
In addition to these, SUUTI had fixed assets of Land and Office premises. On a written down book value basis, these assets were worth Rs 80 crore,
The three main stocks showed mixed reaction after the minister’s statement. While L&T and Axis Bank were trading in the red, ITC was trading with marginal gains.
The finance minister however said that, “We are confident we can raise Rs 30,000 crore,” on disinvestment by the end of March. Some eight companies have already received cabinet nod for the stake sale.