Govt does u-turn: Satluj Jal IPO may happen this fiscal

RELATED NEWS Satluj Jal Vidyut Nigam IPO unlikely this fiscal BSE | NSE 21/02/12

The Power Minister has done a u-turn on the issue of when an initial public offering (IPO) would come out for state-run Satluj Jal Vidyut Nigam (SVJN).

After Power Minister Sushil Kumar Shinde on Wednesday said an IPO for SVJN was unlikely this fiscal due to procedural issues, sources say the plan to go ahead was given by the Himachal Pradesh government (which owns a stake in SVJN) on Wednesday night and would happen before March end.

The IPO was being delayed due to differences between the Centre and the state.

It is learnt that the Finance Ministry was keen to push the SVJN IPO through this fiscal and Power Ministry, sources say, has agreed to give 40 crore additional shares to the HP government.

However, the HP government's share would still be below 26% even after the issue of additional shares.

Shinde had said that divestment in two other power companies - NTPC (already under way) and REC - was on track and would be done this fiscal.

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