45% Of Divested Assets With Psus

Almost 45 per cent of the value of assets divested by the government thus far have been placed with public sector undertakings (PSUs). The remaining 55 per cent has been raised through sale of equity through public issues, global depository receipts and the strategic sale of stake to private companies.

The PSUs, led by Indian Oil Corporation (IOC) and Bharat Petroleum Corporation (BPCL) have contributed Rs 2,716 crore of the Rs 6,039 crore mobilised during the last two and half years, beginning September 1999.

IOC, in which the government holds 82 per cent, has invested Rs 1,812 crore. The company has taken over Bongaigaon Refineries for Rs 658.13 crore while it has bid successfully for 33.58 per cent share in IBP, at a cost of Rs 1,154 crore. BPCL has taken over Kochi Refineries for Rs 659.10 crore. The government also mobilised Rs 244.42 crore through a financial restructuring of Bharat Aluminium.

The government mobilised Rs 3,323 crore from the sales of stake. Today, the sovereign has offered a 25 per cent stake in VSNL at Rs 202 a share, aggregating to Rs 1,439 crore. Prior to this, the largest mobilisation for the government came from the global depository receipt issue of Gas Authority of India (GAIL) where they raised Rs 945 crore in November 1999.

The government mopped up Rs 551.50 crore through a strategic sale of Bharat Aluminium to Sterlite Industries. Among the other strategic sales, the sale of Modern Food Industries to Hindustan Lever raised Rs 105.45 crore, CMC to Tatas fetched Rs 152 crore and Hindustan Teleprinters to HFCL got Rs 55 crore.