India plans to sell small stakes in state-run firms including the world\u2019s biggest coal miner and Asia\u2019s largest zinc producer, to ride a stock market boom and boost revenue in the final quarter of the financial year, according to people familiar with the matter.
\nThe government is looking to sell 5%-10% in Coal India Ltd., Hindustan Zinc Ltd., Rashtriya Chemicals and Fertilizers Ltd. via the so-called offer-for-sale mechanism, the people said, asking not to be identified as the details aren\u2019t yet public. In all, five firms could be chosen, including a listed entity under the railway ministry, they added.<\/p>\n
At current prices, sales at the lower end of the range could fetch the government some 165 billion rupees ($2 billion), according to Bloomberg calculations. Local stocks are at a record high, supported by a healthy pace of economic growth, and the cash raised will help Prime Minister Narendra Modi\u2019s administration fund its subsidy bill that has surged partly because of the war in Ukraine.<\/p>\n
India had budgeted 650 billion rupees from such asset sales in the year through March, but has so far raised just over a third of the target, mainly from the $2.7 billion initial public offering of Life Insurance Corp. in May.<\/p>\n
Roadshows have started to gauge investor interest in the stake sales, the people said. A spokesperson for the Finance Ministry couldn\u2019t be reached for comment.<\/p>\n
Coal India jumped about 46% in the past year, while Rashtriya Chemicals gained 58%, outstripping the benchmark S&P BSE Sensex\u2019s roughly 6% advance.<\/p>\n","protected":false},"excerpt":{"rendered":"
India plans to sell small stakes in state-run firms including the world\u2019s biggest coal miner and Asia\u2019s largest zinc producer, to ride a stock market boom and boost revenue in the final quarter of the financial year, according to people familiar with the matter. The government is looking to sell 5%-10% in Coal India Ltd., Hindustan Zinc Ltd., Rashtriya Chemicals and Fertilizers Ltd. via the so-called offer-for-sale mechanism, the people said, asking not to be identified as the details aren\u2019t yet public. In all, five firms could be chosen, including a listed entity under the railway ministry, they added. At […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[131],"tags":[],"class_list":["post-538567","post","type-post","status-publish","format-standard","hentry","category-coal"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/538567","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=538567"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/538567\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=538567"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=538567"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=538567"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}