The Centre expects to garner Rs 30,000 crore from stake sale and land asset monetisation of THDCIL and North Eastern Electric Power Corporation (NEEPCO), the Indian Express reports.
The Finance Ministry is working on selling particular land parcels held by government departments and companies across the country. The land and stake sale is expected to be completed by FY20-end, the article quotes a source as saying.
Moneycontrol couldn’t independently verify the report.
The Cabinet in November sanctioned a 74.23 percent stake sale in THDCIL; 100 percent in NEEPCO, whose management control would be transferred to NTPC; 53.29 percent in BPCL; 63.75 percent in Shipping Corporation of India (SCI); and 30.8 percent in Container Corporation of India. In CONCOR, it will retain 24 percent stake given the importance of the railways, but will transfer management control.
Eleven consultancy firms, including RITES, JLL Property Consultants (India), KPMG Advisory Services, CBRE South Asia and Boston Consulting Group have been hired for the same.
The income generated would help the Centre tide over the deficit incurred through deferred telecom sector payments. Privatisation of Bharat Petroleum Corporation (BPCL), CONCOR and SCI may take longer, the source added.
Total income of Rs 1 lakh crore is expected once disinvestment of the five PSUs is complete. Budget 2019 had set a disinvestment target of Rs 105,000 crore for FY19-20 as against Rs 80,000 crore in FY18-19.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
