Not desperate to sell SUUTI stakes, says economic affairs secy Shaktikanta Das

NEW DELHI: The government doesn’t have any immediate plan to sell stakes held by SUUTI, economic affairs secretary Shaktikanta Das said. “We are not in a desperate situation. We do not have any need now,” Das told reporters on the sidelines of post-budget consultations.

There has been speculation that the government may opt for selling its holding to garner resources. SUUTI holds 11.7% in the Axis bank, 11.28% in tobacco major and 8.19% in Larsen & Toubro. Specified Undertaking of UTI, or SUUTI, came into being in February 2003 following the split of the Unit Trust of India.

All net asset value-based schemes were transferred to UTI Asset Management Company and large equity holdings along with other assets including real estate and 25 assured-return schemes were given to SUUTI. In 2012, the cabinet had approved a proposal for winding up of SUUTI and creating a National Asset Management Company to manage its assets and leverage them to buy stakes in PSUs. The decision was reversed a year later to allow SUUTI to monetise its assets.