Centre plans to sell shares of RIL held through SUUTI

Centre plans to sell shares of Reliance Industries held through SUUTI: Report

The move, for which a final approval is expected soon, will fetch the government around Rs 180 crore

The logo of Reliance Industries. Credit: Reuters Photo

The Centre is planning to sell about 8 lakh shares of Reliance Industries (RIL) held through Specified Undertaking of the Unit Trust of India (SUUTI), according to a report by the Business Standard. 

The move, for which a final approval is expected soon, will fetch the government around Rs 180 crore.

According to the report, the Department of Investment and Public Asset Management (DIPAM) will soon appoint an intermediary that will act as a custodian of these shares. The intermediary will offload these shares at the best price, an official told the publication.

The government, through SUUTI, owned shares in Indian Petrochemicals Corporation (IPCL), which was merged with RIL in 2007. Back then, IPCL shareholders got one RIL share for every five shares held in IPCL.

The Centre owns 1.17 crore shares or 0.18 per cent in the oil-to-telecom conglomerate.

This is part of the government’s strategy to continue with minority stake sale. The government has also reduced its SUUTI stake in Axis Bank that has helped the exchequer in garnering Rs 3,994 crore in the ongoing financial year.

Earlier, the government had floated a request for proposal (RFP) to advise it on sale of shares held by SUUTI in various companies.

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