Disinvestment ministry to seek CCD meet for EIL, HCI and SCI

NEW DELHI: Buoyed by the go-ahead for disinvestment of oil PSUs, HPCL and BPCL, Disinvestment Ministry will now seek a meeting of Cabinet Committee on Disinvestment soon to finalise transaction documents for sale of equity in Engineers India Ltd and Shipping Corporation.
Three PSUs -- EIL, Hindustan Copper and Shipping Corporation -- where disinvestment process is in advanced stages, would now be taken to CCD for approval of draftr Shareholders and Sharepurchase agreements, said official sources.
Sources said the Disinvestment Ministry would soon seek a meeting of CCD, but declined to give a timeframe.
The government, which currently owns 90.39 per cent stake in EIL, has decided to divest 51 per cent of its shareholding in favour of a strategic partner along with management control.
An additional 10 per cent stake would be offered to employees at one-third of market price or bid price whichever is lower.
Over half a dozen companies are eyeing stake in the engineering consultancy PSU including ONGC-BHEL combine, GAIL-L&T combine, Reliance, Essar, Tisco, Warburg Pincus, Jindal and Russia-based Sun Securities.
In the case of national flag carrier Shipping Corporation of India, government currently holds about 80 per cent stake and is planning to off-load 51 per cent stake to strategic partner.