Financial bids for six PSUs by Jan-end

Our Economic Bureau

New Delhi, Jan 3: The cabinet committee on disinvestment (CCD) will meet twice by end January and then in the first week of February to call financial bids for a number of PSUs put on block. These PSUs include, India Tourism Development Corp (ITDC), Hotel Corporation (HCI), Videsh Sanchar Nigam (VSNL), IBP and Indian Petrochemicals Corpn (IPCL). Privatisation of these public sector units is at the final stage.

According to official sources, the disinvestment ministry has decided to call CCD meetings because calling financial bids for all these units will be a very heavy agenda and unlikely to be completed in a single meeting.

In the case of ITDC, the CCD is likely to approve calling of financial bids for the second tranche of hotels and the two hotels of the first tranche - Ashok, Delhi and Ashok, Manali. Financial bids for the remaining HCI hotels are also expected to be called after the meeting.
The ministry hopes to sort out the issues pertaining to tax litigation and surplus land by end January, sources said, adding in the case of the IPCL sale, due diligence has already begun, and the committee is likely to approve transaction documents for the petrochem giant.