Major Achivements

S.No. Month Achievements
1 July, 2017
  1. Pursuant to the announcement made in the Budget on creation of an integrated public sector oil major, the CCEA in its meeting held on 19th July, 2017 has given an in-principle approval to consider strategic sale of the Government of Indias existing 51.11 per cent of total paid-up equity shareholding in Hindustan Petroleum Corporation Limited (HPCL) to Oil and Natural Gas Corporation Limited (ONGC) along-with transfer of management control.
  2. The IPO issue of Cochin Shipyard Ltd. (CSL) was opened for subscription on 1st to 3rd August, 2017 with a price band of Rs. 424 to 432 per share of face value of Rs.10. The Government is expected to realise Rs. 480 crore through this issue.
  3. The OFS issue to disinvest 15 per cent paid up capital in National Fertilizers Ltd. (NFL) out of GoIs shareholding was held from 26.07.2017 to 27.07.2017. An amount of Rs. 530.72 crore has been realized through this OFS transaction.
2 June, 2017
  1. As a part of the initiative to divest SUUTIs holdings, shares of L&T Ltd. amounting to 2.59 per cent of the equity capital of the company were sold on 21st June, 2017. The Government realised an amount of Rs. 4153.65 crore (approx.) through this transaction. Subsequently, the OFS issue to disinvest 5 per cent paid up capital in Rashtriya Chemicals & Fertilizers Ltd. (RCFL) out of GoIs shareholding was completed on 30th June, 2017. The Government realized an amount of Rs. 205.15 crore through this OFS transaction.
  2. As approved by the Alternative Mechanism, the Government also participated in the buyback offer of Oil India Limited (OIL), which was opened between 23rd May, 2017 and 5th June, 2017. The Government received an amount of Rs. 1135.25 crore through this buyback transaction. Post this buyback, GoIs shareholding in the company stands at 66.13 per cent.
  • Current Year 2017-18 Target and Achievement so far

    Sl.No. Financial Year Target (In Rs. Crore) Achievement (In Rs. Crore)
    1. 2017-18 72,500.00 (including Rs.46,500 crore as disinvestment of CPSEs, Rs.15,000 crore from strategic disinvestment and Rs.11,000 crore from listing of Insurance Companies). 8,832.30(As on 17.08.2017)

    Last 6 years Targets and Achievements

    Sl.No. Financial Year Target (In Rs. Crore) Achievement (In Rs. Crore)
    1. 2011-12 40,000.00 13,894
    2. 2012-13 30,000.00 23,957
    3. 2013-14 40,000.00 15,819
    4. 2014-15 43,425.00 24,349
    5. 2015-16 41,000.00 (excluding strategic disinvestment of Rs. 28,500 crore) 23,997
    6. 2016-17 56,500 (including Rs. 36,000 crore as disinvestment of CPSEs and Rs. 20,500 crore from strategic disinvestment) 46,246.58 (including Rs. 35,467.87 crore from disinvestment of CPSEs and Rs. 10,778.71 crore from disinvestment of strategic holdings and

    income from management
    of SUUTI investment)

    Budget Announcements and Implementation Status, 2017-18

    Sl.No. Para No. Text of Announcement Status of Implementation
    1. 103 Listing of Public Sector enterprises will foster greater public accountability and unlock the true value of these companies. The Government will put in place a revised mechanism and procedure to ensure time bound listing of identified CPSEs on stock exchanges. The disinvestment policy announced by me in the last budget will continue. As announced in the Budget, 2017-18, the Government has put in place a mechanism/procedure along with indicative timelines for listing of CPSEs on 17.02.2017. The Administrative Ministries/ Departments have been requested to follow the suggested timelines and to complete time-bound listing of identified CPSEs, as per the extant Acts, Rules and Regulations.
    2. 104 The shares of Railway PSEs like IRCTC, IRFC and IRCON will be listed in stock exchanges. Book Running Lead Manager (BRLMs) and Legal Advisors for listing of the three Railway CPSEs – IRFC, IRCON and IRCTC have been appointed.
    3. 106 Our ETF, comprising shares of ten CPSEs, has received overwhelming response in the recent Further Fund Offering (FFO). We will continue to use ETF as a vehicle for further disinvestment of shares. Accordingly, a new ETF with diversified CPSE stocks and other Government holdings will be launched in 2017-18. The construction of new ETF basket is in the final stage. Advisor for new ETF has been selected. Selection of Legal Advisor is under process.

    Budget Announcements and Implementation Status, 2016-17

    Sl.No. Para No. Text of Announcement Status of Implementation
    1. 88 A new Policy for management of Government investment in Public Sector Enterprises, including disinvestment and strategic sale has been approved.  We have to leverage the assets of CPSEs for generation of resources for investment in new projects. We will encourage CPSEs to divest individual assets like land, manufacturing units, etc. to release their asset value for making investment in new projects. The NITI Aayog will identify the CPSEs for strategic sale. (i) Detailed instructions/circulars on the procedure and mechanism for strategic disinvestment have been issued on 29th February, 2016 to all Ministries/Departments concerned, including NITI Aayog.

    (ii) Based on the report of the NITI Aayog and the recommendations of CGD, the CCEA in its meeting held on 27th October, 2016, has approved, ‘in- principle’ the proposal for strategic disinvestment of some CPSEs, units of CPSEs and subsidiaries of CPSEs.

    (iii) Administrative Ministries have been requested to initiate the process of strategic disinvestment of the CPSEs for which 'in-principle' approval has been accorded by CCEA.

    (iv) For the purpose of uniformity and efficient implementation of strategic disinvestment transactions, the 'flow of activities' to be completed within a specified time in respect of disinvestment of Government equity as well as disinvestment of equity of parent CPSE subsidiary, and sale of units of CPSEs has been prepared and communicated to the concerned Administrative Ministries/Departments for completion of the activities within the specified timeline.

    (v) The process of strategic disinvestment of the CPSEs has been initiated as per the procedure and mechanism approved by CCEA. IMG for selection of Advisers, Legal Advisers and Asset Valuers have been constituted in DIPAM and the Administrative Departments concerned. In most of the cases Advisors and Legal advisors have been appointed.
    2. 89 We will adopt a comprehensive approach for efficient management of Government investment in CPSEs by addressing issues such as capital restructuring, dividend, bonus shares, etc. The Department of Disinvestment is being re-named as the “Department of Investment and Public Asset Management (DIPAM)”. (i) The Department has been renamed as Department of Investment and Public Asset Management (DIPAM) in line with focus of the Government on management of its investment in Central Public Sector Enterprises (CPSEs) for accelerating economic development as well as augmenting Government resources for higher expenditure.

    (ii) To ensure efficient management of GoI's investment in CPSEs, the Guidelines on "Capital Restructuring of CPSEs" have been issued on 27th May, 2016 which supersedes all previously issued guidelines by various Ministries/Departments.