PMO to meet Coal Minister this week on CIL disinvestment

Taking ahead proposed stake sale in CIL, govt has already held roadshows in two phases in Singapore, Hong Kong, Australia, Germany and UK

The Prime Minister's Office has called a meeting this week with the Coal Ministry to discuss issues pertaining to disinvestment in Coal India Ltd, ahead of the proposed 3-day strike by CIL union against the government's stake-sale plan.

"The Prime Minister's Office has called a meeting this week to discuss CIL disinvestment," said an official.

Various aspects of the disinvestment are likely to be taken up, including the proposed strike that was deferred to December 17 from September 23, he added.

The official declined to comment on as to who will chair the meeting. He also said that a call is yet to taken on who will represent the Coal Ministry at the meeting.

Taking ahead the proposed stake sale in CIL, government has already held roadshows in two phases in Singapore, Hong Kong, Australia, Germany and UK.

According to the official, although these were non-deal roadshows, "the response has been good".

Commenting on the mood of investors with regard to the roadshows, Coal Secretary S K Srivastava had earlier said: "It is a very sound company with strong fundamentals and they have appreciated various aspects of operations and functioning of Coal India."

The Department of Disinvestment originally planned to sell 10% stake in CIL, but faced strong opposition from employees unions as they threatened to go on strike.

Meanwhile, Coal Minister Sriprakash Jaiswal had said that the disinvestment might take place in November or December.

Coal India was listed on the stock exchanges in 2010 after an initial public offer through which the government raised Rs 15,199 crore by selling a 10% stake.

The company has a cash balance of over Rs 60,000 crore.