PSUs asked to route strategic divestment, minority stake sales via DIPAM

The process for strategic divestment will be through competitive bidding, while soon-to-be specified guidelines will have to be followed for shutting down units

The Union government has asked public sector undertakings (PSUs) to submit their proposals regarding strategic divestment and minority stake sales to the Department of Investment and Public Asset Management (DIPAM) through its administrative ministry.

Last month, the Union Cabinet had empowered boards of PSUs to suggest and undertake the process for strategic disinvestment, minority stake sale, stake in joint ventures (JVs), and closure of any of their subsidiaries.

In a communication, government departments and ministries have been informed that PSUs should submit their proposals on strategic or minority stake sale, sale in JVs and closure of units to DIPAM through their administrative