Press Esc to close
Tuesday 02 September 2014
News updated at 2:32 AM IST
Weather
Max: 27.4°C
Min : 19.4°C
In Bangalore
Sunny day

Centre kicks off disinvestment

New Delhi, Nov 21, 2012, DHNS :

Hind Copper stake sale on Friday

The government’s delayed disinvestment process will finally kick off on Friday with the offloading of 4 per cent share in the leading public sector copper producer Hindustan Copper Limited (HCL).

HCL is the first public sector company to go under the hammer this fiscal year through which the government aims to garner Rs 30,000 crore.

“HCL disinvestment will happen on Friday. The first tranche is only going to be 4 per cent,” Disinvestment Secretary Halim Khan told reporters.


The government has decided to go in for divestment in two tranches, Khan said adding, “We don’t want to flood the market with extra liquidity so we are divesting stakes in two tranches.”

The floor price for the equity sale will be decided on Friday after the stock market closes, he said. Desperate to garner target revenue from divestment, the government has also permitted the state-owned Life Insurance Corporation to invest upto 30 per cent in a company as against the prevailing rule of 10 per cent.

The new norms will enable the cash-rich LIC to pick up higher equity in state-owned companies during the disinvestment process without caring for whether the auction  evokes much response from other buyers.

However, this has not gone down well with insurance regulator Irda which has publically expressed disappointment with the decision.

Post disinvestment, the government’s shareholding would come down to 90 per cent in the company.

Go to Top

Photo Gallery
President Pranab Mukherjee grants degree to a student at the 14th convocation of the University...

President Pranab Mukherjee grants degree to a student at the 14th convocation of the University...

Fireworks on the occasion of 410th installation anniversary of Sri Guru Granth Sahib, the holy...

Fireworks on the occasion of 410th installation anniversary of Sri Guru Granth Sahib, the holy...

Left Front activists take part in a rally to observe anti-imperialist day in Kolkata on...

Left Front activists take part in a rally to observe anti-imperialist day in Kolkata on...

Flood water flows through Srisailam dam after its four crest gates were opened in Kurnool on...

Flood water flows through Srisailam dam after its four crest gates were opened in Kurnool on...

BJP president Amit Shah during a visit to Sree Padmanabhaswamy temple in Thiruvananthapuram on...

BJP president Amit Shah during a visit to Sree Padmanabhaswamy temple in Thiruvananthapuram on...

Prime Minister Narendra Modi shakes hands with Japanese Minister of Foreign Affairs Fumio...

Prime Minister Narendra Modi shakes hands with Japanese Minister of Foreign Affairs Fumio...

Actress & BJP MP from Chandigarh Kirron Kher speaks during a seminar on...

Actress & BJP MP from Chandigarh Kirron Kher speaks during a seminar on...

Prime Minister Narendra Modi and Japan's Prime Minister Shinzo Abe makes a toast during a banquet...

Prime Minister Narendra Modi and Japan's Prime Minister Shinzo Abe makes a toast during a banquet...

Congress president Sonia Gandhi prays in a temple during a visit to her constituency Rae Bareli...

Congress president Sonia Gandhi prays in a temple during a visit to her constituency Rae Bareli...

Congress president Sonia Gandhi in a village hut during a visit to her constituency Rae Bareli on...

Congress president Sonia Gandhi in a village hut during a visit to her constituency Rae Bareli on...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523