- Government holds 54.03 percent stake in defense PSU BEML
- The sale of 26 per cent stake at the current market price will fetch around Rs 2,000 crore.
- Financial bids expected in October-December quarter
Disinvestment: The government may invite financial bids for privatization of BEML in the December quarter. An official gave this information. The Ministry of Corporate Affairs had earlier this month approved the demerger of land and non-core assets of BEML into BEML Land Assets Ltd. The official said that every shareholder of BEML will get a share in BEML Land Assets Ltd and the process of demerger will be completed by the end of September or early October.
of government 54.03 percentage share
“The financial bids for the strategic sale of BEML will be invited by the end of September or early October after the demerger process is completed,” he said. The financial bids are expected in the October-December quarter, the official said. and by then the draft share purchase agreement will also be finalised. The government had in January last year invited preliminary bids to sell 26 per cent stake in BEML with management control. The government holds 54.03 per cent stake in defense public sector undertaking BEML. The sale of the government’s 26 per cent stake in BEML at the current market price would fetch around Rs 2,000 crore.
Preparing to bring three IPOs too
The government plans to launch an initial public offering (IPO) of three public sector companies, including ECGC, apart from strategic sale of Shipping Corporation, BEML and Bharat Petroleum Corporation (BPCL). A target of Rs 65,000 crore disinvestment has been set in the general budget during the financial year 2022-23. This figure is much lower than the projected target of Rs 1.75 lakh crore for 2021-22. Tuhin Kant Pandey, Secretary, Department of Investment and Public Asset Management, DIPAM, had said that the process of financial bidding of Shipping Corporation, BEML and BPCL is underway. HLL Lifecare and PDIL are in EOI stage. Apart from this, there are plans to bring IPOs of ECGC, WAPCOS and National Seeds Corporation. The Secretary said that the process of dissolution of core and non-core assets of Shipping Corporation and BEML is underway, after which financial bids will be invited for its strategic sale.
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