Foreign roadshows begin for NTPC, BEL divestment

New Delhi, Oct 6 (IANS) The Indian government on Tuesday commenced roadshows at four foreign locations, including in the US and Britain, to attract buyers for its proposed divestment in power generator NTPC and Bharat Electronics Ltd (BEL).

The two stake sales are expected to garner the government around Rs.6,600 crore.

A senior source told IANS here that officials from the department of disinvestment (DoD), the power ministry and NTPC are doing roadshows simultaneously between October 5-10 in Singapore, Hong Kong, London and in San Francisco, Boston and New York in the US.

The divestment in the two companies would proceed based on investor responses in the roadshows and the domestic equity market conditions, the source added.

Union cabinet’s approval has been taken for the 5 percent stake sale in NTPC. The 5 percent stake sale as per current market prices would fetch Rs.5,200 crore for NTPC stock and around Rs.1,400 crore in the case of BEL.

NTPC and BEL form part of a divestment basket of companies created by DoD earlier this year, which includes Engineers India, NALCO and Hindustan Copper.

The government has so far in this fiscal earned Rs.12,600 crore through stake sale in four units – Indian Oil, the Power Finance Corp, REC and the Dredging Corporation of India.

It has a divestment target, for this fiscal, of Rs.69,500 crore, of which Rs.28,500 crore is expected to come from strategic stake sales.

Finance Minister Arun Jaitley last week reviewed the situation in the government’s divestment programme in connection with generating revenue, and announcements of stake sale would be made at the appropriate time, a senior official said on Monday.

“On disinvestment, the finance minister held a review meeting last week,” Economic Affairs Secretary Shaktikanta Das told reporters here at a press conference of secretaries in the finance ministry.

Leave a Reply

Please enter your comment!

The opinions, views, and thoughts expressed by the readers and those providing comments are theirs alone and do not reflect the opinions of www.mangalorean.com or any employee thereof. www.mangalorean.com is not responsible for the accuracy of any of the information supplied by the readers. Responsibility for the content of comments belongs to the commenter alone.  

We request the readers to refrain from posting defamatory, inflammatory comments and not indulge in personal attacks. However, it is obligatory on the part of www.mangalorean.com to provide the IP address and other details of senders of such comments to the concerned authorities upon their request.

Hence we request all our readers to help us to delete comments that do not follow these guidelines by informing us at  info@mangalorean.com. Lets work together to keep the comments clean and worthful, thereby make a difference in the community.

Please enter your name here