Indian gov't approves sale of stake in 5 public sector enterprises

NEW DELHI, Nov. 21 (Xinhua) -- The Indian government has approved sale of its stake in five Central Public Sector Enterprises (CPSEs), officials said on Thursday.

The decision was taken during a meeting of Cabinet Committee on Economic Affairs on Wednesday evening.

"The Cabinet Committee on Economic Affairs, chaired by Indian Prime Minister Narendra Modi has accorded in-principle approval for strategic disinvestment in Bharat Petroleum Corporation Limited (BPCL), Shipping Corporation of India (SCI), Container Corporation of India (CONCOR), North Eastern Electric Power Corporation Limited (NEEPCO) and Tehri Hydro Development Corporation India Limited (THDCIL)," a government spokesman said.

CPSEs are those companies in which majority of the stake (more than 50 percent) is owned by the government.

"The resources unlocked by the strategic disinvestment of these CPSEs would be used to finance the social sector and developmental programs of the government benefiting the public," the spokesman said.

According to officials, the government will sell its 53.29 percent stake in BPCL after taking out Numaligarh Refinery from its portfolio along with transfer of management control to a strategic buyer.

Likewise, disinvestment of government's shareholding of 63.75 percent in SCI, 30.8 percent in CONCOR along with transfer of management control to a strategic buyer, 74.23 percent in THDCIL and 100 percent in NEEPCO along with transfer of management control to National Thermal Power Corporation will be carried out.