Disinvestment Drive: SJVN, MOIL Among 10 Companies On The Block This Fiscal
Disinvestment Drive: SJVN, MOIL Among 10 Companies On The Block This Fiscal
Satluj Jal Vidyut Nigam Limited and MOIL are the two companies among 10 which have been cleared for disinvestment during this fiscal. GoI has identified these two companies as candidates for 10% disinvestment in the current fiscal. This will fetch close to INR 1,200 crore to the exchequer.
Disinvestment Decisions
"The disinvestment department has included 10% stake sale each in SJVNL and MOIL for disinvestment in current fiscal," a government official has informed the Press Trust of India. Sale of 10% stake or INR 37.22 crore of SJVN could yield INR 890 crore. Apart form this, 10% stake or 1.34 crore shares of MOIL could fetch around INR 400 crore at the present market price.
Currently, the government holds 89.97% in SJVN and 80% stake in MOIL. These are the 2 among 10 companies which have been cleared for disinvestment during this current fiscal.
Smooth Sailing for SAIL
Previously, in this month, the Government of India had auctioned 5% stake in steel company SAIL. This saw a massive investor response with bids rising to two times the number of shares placed on the block. The sale garnered INR 1,700 crore for the exchequer.
The government seeks to meet the massive disinvestment target of INR 43,425 crore for this fiscal. Bluechip firms such as ONGC and Coal India have been lined for sale already, reports Business Standard.
About SJVN
Satluj Jal Vidyut Nigam Limited is a J.V between Governments of India and Himachal Pradesh at a ratio of 75:25 . It is involved in planning, promotion, organisation and execution of projects pertaining to power. SJVN is involved in generation, operation, maintenance, distribution and sale of power.
This company is a miniratna and a schedule A central PSU under the Ministry of Power. It was incorporated in the year 1988 and it is fast emerging as a power player in the nation. Its present authorised capital is INR 7000 crores.
SJVN is operating the largest hydropower station in India, the 1500 MW Nathpa Jhakri Hydropower Station and establishing new benchmarks in power generation and maintenance.
About MOIL
MOIL is a miniratna PSU which was established in the year 1896 as a Central Province Prospecting Syndicate. This has been renamed as the Central Provinces Manganese Ore Company Limited which is a British Company established in the UK.
As per a deal between GoI and MOIL in the year 1962, this company’s assets were taken over by the former. MOIL was formed formally with 51% capital between the GoI and governments of MP and Madhya Pradesh along with the balance 49% by the CPMO. MOIL is a manganese oil mining company and it presently operates 10 mines.
