The Indian government wants to solicit offers for the privatization of Shipping Corp Ship’s crew

By Nikunj Ohri

NEW DELHI, April 11 (Reuters) – The Indian government plans to solicit financial bids for the privatization of Shipping Corp of India Ltd (SCI) next month as it intends to close the state-owned company after years of delays by two government officials sell said Reuters.

Prime Minister Narendra Modi’s government announced plans in 2019 to privatize a number of state-owned companies, including selling its stake in SCI, which had stalled due to regulatory delays.

SCI — which owns and operates bulk carriers and crude oil tankers, among other assets — had to spin off its non-core assets before the government could sell its 63.75% stake, hitting a legal roadblock on the amount of funds to be transferred to the spin-offs Person.

SCI completed the spin-off last month after receiving regulatory approval in late February.

This spin-off entity, called SCI Land Assets Ltd, has to go public before April 23 and the government plans to do so soon, one of the two officials said.

The government now aims to solicit financial bids for SCI, which owns and operates around a third of India’s total tonnage, by mid-May, the two officials said.

Officials declined to be named because the plan is not yet public.

A final decision will be made on April 14 by a panel headed by India’s cabinet secretary, it said.

That body will also consider a proposal to solicit initial bids for the sale of the government’s 31 percent stake in Container Corporation of India Ltd, which has been delayed since 2020, one of the officials said.

The Treasury Department did not immediately respond to an email seeking comment.

(Reporting by Nikunj Ohri; Editing by Savio D’Souza)

(c) Copyright Thomson Reuters 2023.

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