Govt identifies 3 PSUs for disinvestment

Like this story, share it with millions of investors on M3

0

Like this story, share it with millions of investors on M3

Govt identifies 3 PSUs for disinvestment

The Government of India has identified three public sector undertaking (PSU) companies for disinvestment. It will divest stake in Kudremukh Iron Ore, Manganese Ore and NMDC.

Post your opinion here

 

0

Tweet

Share on Tumblr

Excerpts from Closing Bell on CNBC-TV18 Watch the full show » RELATED NEWS Govt to disinvest 5-10 PSUs in FY10: Sources Govt won't borrow entirely from market route: Fin Secy Nifty BSE | NSE 09/02/12 Are Mutual Funds betting on Nifty?

The Government of India has identified three public sector undertaking (PSU) companies for disinvestment. It will divest stake in Kudremukh Iron Ore, Manganese Ore and NMDC. Kudremukh is a listed entity with 1% market float, Manganese Ore is an unlisted company owned by the government of India, Maharashtra and Madhya Pradesh state governemnts; NMDC is listed with 1.62% market float.

It is believed that between 9% and 20% of Kudremukh may be divested, which could raise between Rs 771 crore and Rs 1,713 crore, while 10% of Manganese Ore may be sold via offer for sale - it may fetch Rs 108 crore. NMDC may see a divestment of 8.38%-20% and that may fetch between Rs 10,351-Rs 24,704 crore.

The Finance Secretary held a meeting earlier this week to discuss the issue. CNBC-TV18 has learnt that five to 10 companies will be divested this fiscal and that companies with less than 10% market float will be the main candidates for disinvestment.