INSUBCONTINENT EXCLUSIVE:
MUMBAI: The government has approved share sales in seven central public sector enterprises (CPSEs) to unlock value and raise funds through
share sales to meet its disinvestment target.
Those approved for listing by the Cabinet Committee on Economic Affairs (CCEA) include RailTel
Corp India Ltd, Telecommunications Consultants India Ltd (TCIL), National Seeds Corporation Ltd, Water Power Consultancy Services Ltd
(WAPCOS), FCI Aravali Gypsum and Minerals (India) Ltd and Tehri Hydro Development Corp
All these will list through IPOs
mechanism, comprising finance minister Arun Jaitley, minister of road transport and shipping Nitin Gadkari and the minster of the
administrative ministry concerned, has been empowered to decide on the extent and mode of disinvestment along with pricing and timing.
The
Cabinet also expanded the eligibility criteria for listing of CPSEs
Companies with a positive net worth and a net profit in any of the immediately three preceding financial years will be now eligible for
The earlier criteria stipulated positive net worth, no accumulated losses and net profits in the three preceding years.
Good Response to
Pawan HansThe government has realised ?34,142.35 crore from disinvestment against the budgeted target of ?80,000 crore in the current
The third follow-on offer of the CPSE-ETF (exchange traded fund) in November 2018 was the biggest disinvestment transaction, raising ?17,000
The government will raise around ?14,000 crore from the stake sale.
Department of Investment and Public Asset Management (DIPAM) secretary
Atanu Chakrabarty had recently expressed confidence that the government will be able to meet its asset-sale target
He also said there was substantial interest in state-run helicopter service provider Pawan Hans in which the government is looking to sell
