SJVNL IPO unlikely this fiscal: Shinde
New Delhi, Feb. 3: The power minister, Mr Sushil Kumar Shinde, on Wedn-esday said that the government may put off divestment in power generation company Satluj Jal Vidyut Nigam (SJVNL) to the next fiscal.
Mr Shinde, however, declined to give any reason for the delay of the divestment plan, which would have fetched the government Rs 1,200 crore.
Earlier, the government had planned to launch an IPO of SJVNL towards the end of this fiscal.
The government is divesting five per cent of its stake in National Thermal Power Corporation (NTPC) , after which its share in the company would come down to 84.5 per cent. The government hopes to mop up over Rs 8,500 crore through the NTPC offer.
On the heels of NTPC offer, the government is likely to go ahead with its divestment plans in PSUs such as REC and NMDC.
The Centre is planning to offload 10 per cent stake through an IPO in SJVNL this fiscal and is hoping to raise Rs 1,200 crore.
SJVNL is a joint venture between the Centre and Himachal Pradesh in the ratio of 75:25.
The company has announced an investment of over Rs 23,000 crore in the next 10 years to add 4,000 MW to its existing 1,500 MW.
The new projects include two hydel projects of 900 MW and 600 MW in Bhutan and the 800 MW Arun-III hydel project in Nepal.
Currently, the government holds 75 per cent stake in SJVNL and the Himachal Pradesh has the remaining 25 per cent.
The disinvestment is plan-ned only for the Centre’s shares and the company is not going to issue any fresh equity.
In its second term, the UPA government has so far made divestment in two energy PSUs — Oil India and National Hydel Power Corporation. — PTI
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