India will finalize the sale of state-owned helicopter service provider Pawan Hans Ltd this week and bids have been received from companies. JSW Steel Limited And Jindal Steel & Power LimitedAccording to people with knowledge of the matter.
A group of officials, headed by Cabinet Secretary Rajiv Gauba, is meeting on Saturday to choose the winning bid, the people said, asking not to be identified as the matter is private. He said the final announcement would be made after the approval of a ministerial panel which is largely procedural.
The asset sale plan will help bridge the budget gap and meet spending targets as the economy faces fresh constraints from geopolitical tensions. The government is targeting to raise Rs 650 billion ($8.5 billion) from disinvestment, including the sale of minority stake in some companies, by March 2023.
The loss making Pawan Hans provides air transport services for the exploration activities of Oil and Natural Gas Corporation Limited. The federal government holds 51% in Pawan Hans, while ONGC Holds 49%. Oil Explorer has decided to pay its entire stake to the successful bidder at the same price and terms as agreed by the Government.
A finance ministry spokesperson was not immediately available for a comment. Pawan Hans did not respond to calls made to his office number. A spokesperson for JSW Steel declined to comment, while JSPL did not respond to an e-mailed request.
Following the sale of national carrier Air India Limited to Tata Sons Pvt. Last year, the government aims to privatize about five state-owned companies this year, including Bharat Petroleum Corp., Shipping Corp. of India Ltd., BEML Limited And IDBI Bank Limited It is also planning to sell a stake in Life Insurance Corp.
This story has been published without modification in text from a wire agency feed. Only the title has been changed.