Government eyes stake sale in BHEL, Nalco
19 August 2011
The government may sell stakes in star PSUs like Bharat Heavy Electricals Ltd (BHEL) and National Aluminium Company Ltd (Nalco) in bid to meet the divestment target of Rs40,000 crore for the current financial year, finance minister Pranab Mukherjee told the Lok Sabha today.
Of the two state-owned companies listed on the stock exchange, BHEL is the country's top manufacturer of power plant equipment while NALCO is the third largest producer of aluminum in India.
The government is likely to divest 5-per cent equity capital in BHEL while it may go for sale of 10 per cent equity in Nalco, he said, adding, the cabinet is yet to formally consider the proposals.
He said the proposals for divestment in these two public sector units are at various stages and has not reached the government for approval.
The government has mopped up Rs1,144.55 crore from divestment of a 5-per cent stake in Power Finance Corporation and has already approved divestment in ONGC, SAIL, Hindustan Copper Ltd and National Building and Construction Corporation (NBCC), the minister said.
The centre has budgeted divestment receipts of Rs40,000 crore for 2011-12, Mukherjee told the House, adding that the actual sale would depend also on market conditions.