Govt may invite EoIs for CONCOR strategic sale in Q3 of FY23: Sources

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The government looks to divest its stake in Container Corporation of India (CONCOR) and expressions of interest (EoIs) for the sale of the public sector enterprise may be invited in the third quarter of financial year 2023, sources told CNBC TV-18.

Currently, CONCOR  is under the ownership of Indian Railways.

Also Read: Mc Explains: How will the government's land leasing policy expedite the divestment of CONCOR?

The Union Cabinet on September 7 approved the policy on long-term leasing of Indian Railways' land and cut the land licence fees from 6 percent to 1.5 percent. The lease period has also been increased from five years to 35 years.

Also Read: Why did Concor's stock price surge?

This amendment to the Railway Land Policy is likely to attract private investors to buy the government's stake in the private sector enterprise, thereby speeding up its divestment process.

Also Read: Concor can see rerating of more than 20%, if land licensing fee is finalised

The proposed changes to the Railway Land Policy will lower the amount investors have to pay as land rentals to railways for a longer period.

In November 2019, the Cabinet approved the divestment of the government's 30.8 percent shareholding in CONCOR, along with the transfer of management control.