Faced with a Rs 43,425 crore target from stake sales this fiscal, the finance ministry has decided to bring in more public sector firms including MOIL and SJVN Ltd under its disinvestment programme.
“We are considering disinvestment of 10 per cent each in both MOIL and SJVN Ltd. We will try to expedite these so that they can take place this fiscal,” said a senior official, adding that these should ideally take place during February or March next year.
Accordingly, the department of disinvestment on Monday invited bids from merchant bankers to manage the disinvestment in MOIL.
“The Government of India intends to disinvest 10 per cent paid up equity capital (168,000,00) shares each of MOIL out of its shareholding of 71.57 per cent, through ‘offer for sale’ of shares ,” said the request for proposal by the department, adding that interested should submit their proposals by January 9, 2015.
To ensure best returns on the proposed stake sale, selected merchant bankers within seven days of getting their appointment letters will have to provide a list of domestic and international investors who can be approached for disinvestment. “A detailed strategy for reaching out to the retail investors so as to create awareness about retail participation in the OFS,” the department further said.