Pawan Hans: Employees' union evince interest in disinvestment

Employees' union of Pawan Hans plans to participate in the disinvestment of the helicopter services provider following which the deadline for submission of expression of interest has been extended, a senior official said today.
In profit-making Pawan Hans Ltd, the government holds 51 per cent stake and the remaining shareholding is with oil behemoth ONGC.
Under the strategic disinvestment, the government would offload its entire 51 per cent stake in the company.
The civil aviation ministry official said employees' union of Pawan Hans wants to participate in the disinvestment and they would get some preferential treatment as per regulations.
Since the union is keen on participating in the process, the last date for submission of Expression of Interest has been extended to December 15. Earlier, the deadline was December 8, the official added.

As per norms of the Department of Investment and Public Asset Management (DIPAM), employees of a public sector company can have at least 10 per cent shareholding.

According to the official, employees can form a consortium to bid in the disinvestment process.
"Ownership of the consortium should be with the employees," the official noted.
Rohini heliport, located in the national capital, would not be part of the disinvestment process and it would be hived off into a special purpose vehicle.
The heliport would be hived off because it is in the land which belongs to the government.
"There will be a separate SPV which will be a mirror company of Pawan Hans," the official said, adding that in the SPV, the government would have 51 per cent stake and the rest would be with ONGC.

As per a document of the ministry, all movable and immovable assets pertaining to Rohini heliport would be hived off, after which the MRO facilities there would be available for use on commercial terms.
In October, the government had invited bids from private companies, including foreign ones, to buy out its entire 51 per cent stake along with management control in Pawan Hans.
The company maintains and operates more than 50 helicopters, according to its website.
A Miniratna PSU, Pawan Hans is under the administrative control of the civil aviation ministry.