The government yesterday decided to bring down its equity in Computer Maintenance Corporation (CMC) to 51 per cent by allowing the public sector undertaking to tap the market for additional equity of Rs 9.85 crore.
An official spokesperson said the Union Cabinet took the decision in view of the fact that CMC's existing equity base was low at Rs 15.15 crore. The government currently holds 83.13 per cent in the company.
Fresh equity needs to be injected into CMC for its diversification plans. The company plans to diversify into software development, systems integration and solutions.
The Cabinet also approved Bareilly Corporation Bank's (BCB) amalgamation with its parent, Bank of Baroda (BoB). BoB holds 98 per cent equity in Bareilly Corporation Bank.
The merger decision follows the Reserve Bank of India's view that BCB could not continue as a separate viable unit.
The amalgamation would safeguard the interest of the BCB depositors who have kept Rs 500 crore with the bank.
The official spokesperson said no BCB depositor would suffer any
