The department of investment and public asset management (Dipam) will soon issue expression of interest for Bharat Petroleum Corporation Ltd (BPCL), according to a senior official, as the government is working to fasttrack divestment of the profit-making public sector enterprise.
According to the official, proceedings of divestment in BPCL are at an “advanced stage” as several investors have evinced interest after the road shows held over the last few months. “BPCL is at a very advanced stage, the EOI will be issued very soon,” the official said.
On interest from foreign companies, the official said, “There is sufficient interest in BPCL.” Dipam, along with the oil ministry, had undertaken road shows in the US, London and Dubai to seek investors for the government’s 53.29 per cent stake, which has been put up for sale after a Cabinet approval last year.
The department had also held road shows for Contain ner Corporation of India (Concor) earlier this month in Canada and Singapore. The government plans to sell 30.8 per cent of its 54.8 per cent stake it holds in the logistics firm.
The official quoted earlier said that expression of interest for Concor will be issued after the EoI for BPCL. “They will be done one by one, BPCL will come first, then Concor.”
Officials have earlier said that divestment of public sector enterprises, including Air India, which the government wants to execute at a fast pace, will not be done in the current financial year. Dipam has managed to mop up only Rs 18,094 crore from divestment of CPSEs, well short of the Rs 1.05 lakh crore target set by the government in the previous budget.
Sources said the government is set to raise the divestment target for FY21 to Rs 1.5 lakh crore as its sees divestment plans of the current year getting completed next year.