Page 4 - Privatisation

Divestment drive: Govt looks to privatise PSUs in fertiliser sector

According to the PSE policy, 2021, the government will look at leaving non-strategic sectors, such as fertiliser, steel and tourism, by privatising or closing PSUs

Govt may invite financial bids for Shipping Corp sale in March quarter

The government is likely to invite financial bids for privatisation of state-owned Shipping Corporation of India (SCI) in the March quarter, an official said. "The demerger of non-core and land assets of Shipping Corporation is at an advanced stage. The process is expected to be over in about three months' time, after which financial bids will be invited," the official told PTI. The financial bids from potential investors are expected in the January-March quarter, the official added. In May, the board of Shipping Corp had approved an updated demerger scheme for hiving off the non-core assets of SCI to Shipping Corporation of India Land and Assets Ltd (SCILAL) including Shipping House, Mumbai and MTI (Maritime Training Institute), Powai to complete the process of de-merging all the non-core assets to the new company SCILAL. As per the balance sheet of SCI, the value of non-core assets held for demerger as of March 31, 2022, stood at Rs 2,392 crore. In March 2021, the government had

Crisis-hit Sri Lanka to privatise national carrier as it runs out of money

Sri Lanka on Monday said it will privatise the country's loss-making national carrier as the cash-strapped government "can no longer afford to inject money" into running the airline. The government is looking to sell a 49 per cent stake each of the SriLankan Airlines' catering and ground-handling units in efforts to restructure the state-run carrier, while 51 per cent will be retained under state hold, Aviation Minister Nimal Siripala de Silva told reporters here. This restructuring is essential as the government can no longer afford to inject money into running the airline, he said. Annually the government has been providing the airline between USD 80 billion to USD 200 billion to run its operations, de Silva said. The minister said the revenue from the sale of the catering operation can be used to pay off debt amounting to USD 80 million that was obtained by mortgaging its shares, as well as some other loans. The airline's debt currently amounts to USD 1.226 billion (LKR 401 ...

Govt may invite financial bids for BEML privatisation in December quarter

The government is likely to invite financial bids for the privatisation of BEML in the December quarter, an official said. Earlier this month, the corporate affairs ministry approved the demerger of land and non-core assets of BEML to BEML Land Assets Ltd. The official said that every shareholder of BEML will get shares in BEML Land Assets and the process of demerger would be completed by the end of September or early October. "Once the demerger process gets over by September-end or by early October, the financial bids for strategic sale of BEML would be invited," the official told PTI. The financial bids are expected in the October-December quarter and the draft share purchase agreement too would be finalised by then, the official added. In January last year, the government invited preliminary bids for selling 26 per cent stake in BEML along with the management control. Multiple Expressions of Interest (EoIs) were received by the government, after which the process of demerger w

Govt's approach to PSB privatisation would result in better outcomes: RBI

The RBI issued this clarification after RBI's researchers argued in a recent article that a gradual approach to the privatisation of the public sector banks (PSBs) in India is better than the big bang

Big-bang privatisation of PSUs can be harmful, says RBI article

The study has found that labour cost efficiency is higher in PSBs in comparison to private banks

India at 75: What's the way ahead for govt on privatisation, asset sales

While the govt has secured a big win by privatising Air India, it is still far from its initial goal of privatising majority of PSUs

Behind the smokescreen of nationalisation

Bank nationalisation was annulled by the Supreme Court (10-1) echoing many voices of dissent on economic grounds

States to get matching amounts from Centre for SPSEs' privatisation

The Centre has allocated Rs 5,000 crore for disinvestment of SPSEs and asset monetisation

Centre seeks to grant bank licence to PSBs to enable privatisation

The government is exploring several options to address the issue for enabling privastisation of PSBs

PSUs face further investment apathy; privatisation may struggle: Analysts

The bulk of the earnings reduction over the past two months for the Nifty-50 index, according to KIE, has come from the government's decision to levy new taxes

Trust between Centre and states intact in GST Council: FM Sitharaman

In an exclusive interview with BS, Sitharaman said the first quarter lethargy is something which the Centre and the states will have to work on

IDBI Bank sale: RBI may not relax stake-dilution timeline for new buyer

Govt intermediaries sought exemptions in IDBI bank sale under RBI rules, which require promoters' shareholding to be reduced by 26% post acquisition

BPCL winds up data room after govt puts off privatisation plan

BPCL had in April last year opened a virtual data room, mostly containing financial information on the company, for the qualified bidders signing Confidentiality Undertaking

CPSEs to execute sale of units having Cabinet nod for privatisation: DIPAM

Those transactions for which Expression of Interest (EoI) have been issued will continue to be handled by the Department of Investment and Public Asset Management (DIPAM)

Ferro Scrap Nigam privatisation: Deadline to submit bids extended again

The last date for submitting initial bids for the privatisation of FSNL has been extended to June 17

Moody's upgrades BPCL outlook to 'stable' as govt calls off stake sale

The rating agency affirmed BPCL's Baa3 issuer rating reflecting its position as the second-largest state-owned refining and marketing company in India

Privatisation process of two PSBs at advanced stage, says DFS Secy Malhotra

While NITI Aayog has suggested names of two banks for privatisation, Centre is yet to make a provision for the divestment of govt stake sale below 51%

Single bid for BPCL wouldn't have helped fetch a better price: DIPAM Secy

Tuhin Pandey says LIC investors should be patient and look at the insurer's long-term prospects

How close is the govt to its divestment target for FY23?

After missing disinvestment target for three years, will the govt be able to nail it this financial year? How are things progressing for the Centre's divestment and privatisation plans? Let's find out