CPSES: In-principle nod to strategic disinvestment
As part of the strategy to keep shares readily available for transaction to take advantage of the market conditions, the centre has identified several cpses, including those in West Bengal, for minority stake sale in mineral & metal, oil & energy, capital goods sectors and some mid-size and small stocks.
minister of state for finance Pon radhakrishnan informed the parliament that the government has given in-principle approval for strategic disinvestment of 24 cpses/units of cpses. They include Bridge & roof company (India) ltd. after completion of the process, specific approval of the government will be sought in each case.
Disinvestment of the government’s shareholding is undertaken to unlock the true value of company, promote public ownership and higher degree of accountability.
Through strategic divestment, the government expects the buyer to bring in funds and technology for the optimum development of business potential and growth of the Psus. Post strategic disinvestment, the growth in companies would be able to generate higher economic activity.
The terms and conditions of the strategic sale address employees’ concerns.