The government has decided not to continue the planned privatization of the Bharat Petroleum Corporation Ltd (BPCL) which is managed by the state and has told his applicants that they will revise the plan and come to the market, according to Anil sole, the Chairperson of Vedanta Resources.
The Indian government has an ambitious plan to sell all 53 percent of its shares in BPCL to private players in 2021-22, but after delay, this target is shifting to 2022-23. Potential buyers who show interest including Vedanta Group, Apollo Global Management, and Private Equity Department I square thinkers supported by capital.
In an exclusive interview with moneycontrol, when asked about the status of BPCL divestment, so that Walwal said, “That will not happen. They say that they have withdrawn the offer, they will return with a new strategy. “
“In general, they have given a statement, they did not continue to advance. Not in this format, “said Sustahawal.
Mixed signals in BPCL divestment make investors and industries confused about what is expected. Recently at the end of March, the Minister of State for Finance Bhagwat Karad told Rajya Sabha that the divestment process was in the second stage and had received “many” expressions that were interesting but there were media reports that quoted senior bureaucrats but there is a divestment that says that the divestment of the divestment has been divestment has been diverts. The divestment, slowly because investors are sharper in green projects.
The government has not officially made a statement about whether the plan has been suspended in its current form.
Will Vedanta be interested in bidding BPCL if the government returns with a revised offer? So that Walwal said, “There is no point in discussing it now. When they come to the market, we will see. “
The BPCL divestment plan does not produce interest expected by the government. In February, the Minister of Petroleum and Natural Gas Hardeep Singh Puri said that the government “hoped to imitate the success of Indian water divestment in BPCL divestment.”
Indian water divestment was also damaged by delay. On January 27, Tata Group completed Indian water takeover, along with Air India Express and shares in AI-SATS. The government has invited an offer to 100 percent of shares in the national operator in March 2020 and the Tata group emerged as the winner in the offer in October 2021.
“The process of privatization is too long, corpotization will work faster. The government must sell shares in the stock market and reduce their ownership to zero, “said Chairman of Vedanta Resources.
In order to warn that India needs to prioritize its energy security and encourage private sector participation to increase domestic production. Companies public sector companies will also help increase production.
“Government companies are united to have a market capitalization of $ 200 billion today, why can’t they sacrifice? Why can’t the government sell its shares to Indian mutual funds, private equity, and HNI (high -value people)? They are a very strong company and driven by the council. The government must fully leave the business. We can provide justice to employees, and nothing will be ascertained. If we do this, the market capitalization of $ 200 billion can reach $ 600 billion, “added Stirwal.