Govt plans to invite financial bids for Shipping Corp of India by mid-May: Report
The government is looking to sell the state-run company after a delay of years. SCI owns and operates around one-third of India’s total tonnage.
- Apr 11, 2023,
- Updated Apr 11, 2023 11:40 AM IST
The government is reportedly planning to invite financial bids for the privatisation of Shipping Corp of India (SCI) next month. The government is looking to sell the state-run company after a delay of years. SCI owns and operates around one-third of India’s total tonnage.
According to a report in Reuters, the government is now planning to invite financial bids for SCI by mid-May. The plan is yet to be made public.
The final decision, however, will be taken on April 14 by a panel headed by the cabinet secretary.
SCI had to spin off its non-core assets before the government could sell its 63.75 per cent stake. The divestment hit roadblocks over the amount of funds that had to be transferred to the demerged entity. The spinoff received regulatory approval in February and was completed last month.
According to the report, the corporation will have to list the demerged entity called SCI Land Assets before April 23.
The panel will also consider a proposal to invite initial bids for the government’s 31 per cent stake in Container Corporation of India, which too has been delayed since 2020.
These decisions come as the Prime Minister Narendra Modi-led government announced plans to privatise a number of state-run companies, including selling its stake in SCI.
The government is reportedly planning to invite financial bids for the privatisation of Shipping Corp of India (SCI) next month. The government is looking to sell the state-run company after a delay of years. SCI owns and operates around one-third of India’s total tonnage.
According to a report in Reuters, the government is now planning to invite financial bids for SCI by mid-May. The plan is yet to be made public.
The final decision, however, will be taken on April 14 by a panel headed by the cabinet secretary.
SCI had to spin off its non-core assets before the government could sell its 63.75 per cent stake. The divestment hit roadblocks over the amount of funds that had to be transferred to the demerged entity. The spinoff received regulatory approval in February and was completed last month.
According to the report, the corporation will have to list the demerged entity called SCI Land Assets before April 23.
The panel will also consider a proposal to invite initial bids for the government’s 31 per cent stake in Container Corporation of India, which too has been delayed since 2020.
These decisions come as the Prime Minister Narendra Modi-led government announced plans to privatise a number of state-run companies, including selling its stake in SCI.