Is it true that the government is planning to hive off stake in Shipping Corporation of India?
Answer
Answer
Finally, it looks like the government is looking to divest stakes in full. After BPCL, it is not the turn of Shipping Corporation of India or SCI. The government has invited bids for its entire stake in SCI, thus paving the way for yet complete privatisation of a state-owned PSU. The government currently holds 63.75% in SCI.
EOI to purchase the stake will have to be submitted by 13 Feb 2021 for the 63.75% stake in SCI. Shipping Corp is a significant player because it owns and operates one-third of India’s tonnage with a wide portfolio. Out of its 6 JVs, 4 will be up for sale. In addition, one of the subsidiaries, Inland and Coastal Shipping Ltd, will also be a part of the transaction.
Government’s 63.75 per cent stake in the company was valued at Rs.2535 crore. Buyers must have a minimum net-worth of Rs.2000 crore with profit track record.