India plans $880 million of share sales in March

MUMBAI Thu Feb 21, 2013 8:36pm IST

Labourers work inside a steel factory on the outskirts of Agartala, Tripura, November 6, 2009. REUTERS/Jayanta Dey/Files

Labourers work inside a steel factory on the outskirts of Agartala, Tripura, November 6, 2009.

Credit: Reuters/Jayanta Dey/Files

Stocks

   

MUMBAI (Reuters) - India plans to raise about $880 million next month cutting its stakes in two state companies, sources with direct knowledge of the matter said, a move that will help the government tackle the budget deficit.

Asset sales are a key part of the government's plan to cut the deficit to 5.3 percent of gross domestic product for the fiscal year to end-March, from 5.8 percent in 2011/12, to avoid a credit downgrade.

The government was expected to sell a 10.82 percent stake in steelmaker Steel Authority of India Ltd (SAIL.NS) via a share auction in the third week of March, three sources with direct knowledge told Reuters on Thursday.

The SAIL stake is worth about $620 million at current prices and its sale would leave the government with a 75 percent stake.

The government also plans to sell a 12.15 percent stake worth about $260 million in National Aluminium Co Ltd (Nalco) (NALU.NS) early next month, two other sources said.

All the sources declined to be named because they are not authorised to speak to the media before a public announcement.

Neither Nalco nor SAIL was available to comment.

(Reporting by Sumeet Chatterjee; Editing by Dan Lalor)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

WTO DEAL

REUTERS SHOWCASE

Car Launch Ahead

Car Launch Ahead

Tata Motors bets on new sedan to revive weak India sales.  Full Article 

Gold Smuggling

Gold Smuggling

In cat-and-mouse game, India uncovers new gold smuggling route.  Full Article 

Boosting Output

Boosting Output

India group ICVL to nearly triple coal output from mine bought from Rio Tinto.  Full Article 

Maruti Results

Maruti Results

Maruti Suzuki says profits helped by sentiment, not growth.  Full Article 

China PMI

China PMI

China July official PMI rises to 51.7 from 51 in June.  Full Article 

Tracking the Monsoon

Tracking the Monsoon

Monsoon turns patchy after revival.  Read 

ICICI Profit Up

ICICI Profit Up

ICICI Bank Q1 net profit up 17 percent, beats estimates.  Full Article 

Coal India

Coal India

Some Coal India mines may be run by foreign firms - minister  Full Article 

Fuel Prices

Fuel Prices

IOC to cut petrol prices by 1.5 pct from Friday  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage