A cash-strapped Centre is pressing ahead with its stake-sale plan in five PSUs, but it is moot if minority shareholders of oil marketing company BPCLwill partake of the expected big gains.
The answer, to a large extent, will depend on who the Centre sells its 53.29 per cent stake in BPCL to — to a private player (domestic, such as Reliance Industries, or foreign, such as ExxonMobil/Saudi Aramco/ADNOC), to another PSU, or to a hydrocarbon major such as Indian Oil. If it is the latter, minority shareholders might get the short shrift, as happened last year when the Centre executed an inter-PSU transaction and sold its 51.11 per cent stake in HPCL to ONGC.
Open offer?
At that time, the Centre cut itself a neat deal and pocketed a 14 per cent premium to the HPCL stock’s prevailing market price. ONGC was exempted from making an open offer to acquire an additional 26 per cent stake, depriving minority shareholders the benefit of the premium over the stock price.
Denne historien er fra October 14, 2019-utgaven av The Hindu Business Line.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent ? Logg på
Denne historien er fra October 14, 2019-utgaven av The Hindu Business Line.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
Covid Presents An Opportunity For India
India must attract investors exiting China post-Covid. Streamlining of project clearances and relaxation in FRBM norms will help
Did Alternative Assets Shield You From Covid-19 Volatility?
The assets closely linked to stock and debt markets could not stave off the losses
How To Put Aircraft To Bed
Preserving grounded planes, to get them up and flying at short notice, is a challenging task. Ashwini Phadnis captures the process
There Can Be No Going Back On WFH
Covid-19 has fast-forwarded the shift to ‘work from home’. However, some face-to-face connect will always be needed
UN, WHO Urged To Ensure ‘Benefit Sharing' Of Covid-Related Data
Biopharma firms should reach vaccines, medicines to poor nations at an affordable price, say civil society bodies
With No Clear Signal From Rlys, States Explore Ways To Bring Back Migrants
Quarantine centres, cross-country buses being arranged even as migrants hop on to boats, trucks and ambulances
Centre Allows All Neighbourhood Shops To Open But With Riders
Final call will be taken by local authorities; shopping complexes that draw fewer ‘outsiders’ are permitted to operate
Covid Impact Relatively Muted In India
Compared to Italy and the US, India’s rate of infection spread has been slow. This can be attributed to the strict measures in place
How Global Trade Will Fare Post-Covid
China isn’t likely to lose its pre-eminent position soon. India, for one, will need to make manufacturing globally competitive
How To Curb Harassment In The Virtual Office
Training and sensitisation are essential. Institute a strict dress code and chat etiquette to ensure professionalism during video calls
