InvestorQ : Who is likely to be the final bidder for BPCL now that Reliance is out of the fray?
diksha shah made post

Who is likely to be the final bidder for BPCL now that Reliance is out of the fray?

rhea Babu answered.
3 years ago

In spite of 16 November being a holiday for financial markets and for banks due to being the last day of Diwali celebrations, the DIPAM went ahead with the bids for BPCL 52.98% stake held by the government. In fact, DIPAM had clearly refused to extend the last date for bidding for BPCL beyond Monday.

A number of key prospects had opted out of the race for BPCL in the last few weeks. This includes Total of France and British Petroleum of UK as both had already opted out of the race due to the high cost involved of the basic bid plus the open offer required.

Two other major players that were in the race, Reliance Industries and Aramco also opted not to participate in the bidding. Both the companies found the stipulation of having to make an open offer to 26% of existing shareholders adding another $3 billion to their cost.

In terms of the specific bids received, there have been no details made available from the DIPAM secretary, Tuhin Pandey, on the actual bids received and the details of the bidders. However, DIPAM sources have indicated that 3-4 bids had been received and these will be taken to the second stage after detailed scrutiny as per the rules.

Now among the actual bidders, it is expected that the Abu Dhabi National Oil Company or ADNOC and Vedanta group of Anil Agarwal could be possible bidders. The details are expected to be officially announced shortly by the DIPAM secretary.