Union Government Decided to disinvest Stakes in Oil India, NTPC
The Union government in month of January 2013 decided to divest 10 percent stake in Oil India in the second fortnight of January and follow this up by disposing of 9.5 percent holding in NTPC in February 2013...
The Union government in month of January 2013 decided to divest 10 percent stake in Oil India in the second fortnight of January and follow this up by disposing of 9.5 percent holding in NTPC in February 2013.
As per the Disinvestment Secretary D.K. Mittal the 10 percent stake in Oil India could fetch around 2700 crore rupees at current market prices also the 9.5 percent stake sale in National Thermal Power Corporation (NTPC) could yield over 12000 crore rupees for the exchequer.
The government proposes to divest in NTPC through the Offer for Sale (auction) route.Post-disinvestment, the government stake would come down to 75 percent. NTPC went public with an initial public offer (IPO) in 2004.
The government has set a 30000 crore rupees disinvestment target for the current fiscal.So far, it has managed to raise over.6900 crore rupees through minority stake sales in PSUs.While National Mineral Development Corporation (NMDC) issue had fetched 6000 crore rupees. Hindustan Copper divestment brought in 808 crore rupees for the government.
The government had identified 10 companies, including Oil India, SAIL and Hindustan Aeronautics, and plans to sell 10 percent stake each in Rashtriya Ispat Nigam Ltd. and Hindustan Aeronautics Ltd.
Also in the pipeline are 12.15 percent stake sale in aluminium producer Nalco, 10.82 percent in steel giant SAIL and 9.33 percent in Minerals and Metals Trading Corporation.