Centre mulling FDI policy tweak to facilitate BPCL privatisation
The government is privatising BPCL and is selling its entire 52.98 per cent stake in the company
PTI | May 28, 2021 | Updated 11:23 IST
The government is considering a tweak in the current foreign direct investment (FDI) policy to allow overseas investors pick up majority stake in the India s second biggest oil refiner Bharat Petroleum Corp Ltd (BPCL), sources said.
The government is privatising BPCL and is selling its entire 52.98 per cent stake in the company.
For BPCL privatisation, mining-to-oil conglomerate Vedanta had put in an expression of interest (EoI) for buying the government s 52.98 per cent stake in the PSU. The other two bidders are said to be global funds, one of them being Apollo Global Management.
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Bharat Petroleum to sale its equity in Numaligarh Refinery
Privatisation bound public sector refiner Bharat Petroleum Corporation Ltd (BPCL) said on Monday that its board has approved the proposal for sale of the company s equity shares in the Numaligarh Refinery Ltd (NRL) to a consortium of Oil India Limited and Engineers India Limited, along with the government of Assam.
BPCL is selling its entire shareholding of 61.65 per cent in NRL to the consortium as part of its sell-off process that mandated separation of the Assam-based refinery before the strategic sale.
As per the information shared with the stock exchanges, BPCL said that in case the government of Assam doesn t participate in the purchase of shares in NRL, its entire shareholding will be sold to the consortium.
Investors of Bharat Petroleum Corporation (BPCL) were handsomely rewarded on Tuesday as market participants rushed to the counter on hopes of special dividend payout. Shares of the state-owned refinery ended 3 per cent higher on the BSE, at Rs 469 per share, as its Board approved to offload the firm s holding in the Numaligarh Refinery unit for Rs 9,878 crore ($1.3 billion) as part of BPCL s privatization process. Earlier today, the share hit a fresh 52-week high of Rs 482.4 apiece, up 6 per cent on the BSE in the intra-day trade. The country s second-biggest state refiner will sell its 61.65 per cent holding in Numaligarh Refinery to a consortium of Oil India Ltd. and Engineers India Ltd. and may also include the state government of Assam, according to an exchange filing.
Homegrown Vedanta and two international funds have shown initial interest in buying the governments entire majority stake in BPCL. The government will call price bids after evaluating the three players suitability on technical grounds.
Homegrown Vedanta and two international funds have shown initial interest in buying the governments entire majority stake in BPCL. The government will call price bids after evaluating the three players suitability on technical grounds.