Next month, financial bids for the privatization of Shipping Corp of India (SCI) are said to be invited by the government. After years of delay, the government wants to sell the state-run business. Around one third of India's total tonnage is owned and operated by SCI.
Reuters reports that the government intends to invite financial bids for SCI by the middle of May. The plan hasn't been made public yet.
However, on April 14, a panel led by the cabinet secretary will make the final decision.
Before the government could sell its 63.75 percent stake in SCI, the company needed to spin off its non-core assets. The amount of money that needed to be transferred to the demerged entity posed a challenge to the divestment. The side project got administrative endorsement in February and was finished a month ago.
The report says that the defunct company called SCI Land Assets must be listed by the corporation before April 23.
The proposal to call for initial bids for the government's 31% stake in Container Corporation of India, which has been postponed since 2020, will also be considered by the panel.
These decisions come as the government led by Prime Minister Narendra Modi plans to privatize several state-owned businesses, including selling its stake in SCI.
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