The Indian government will disinvest 25 percent of its equity holding in trading house Metal Scrap Trading Corporation (MSTC) Limited, a government official said on Thursday, July 27.
The official said that the government would shortly appoint two merchant bankers to divest 25 percent of the government’s total 89.85 percent equity holding in MSTC Limited.
However, at the same time, the government has scrapped its earlier plan to divest its equity holding in Ferro Scrap Nigam Limited (FSNL), a subsidiary of MSTC Limited, as it did not feel it would get any fair valuation from the sale of its shares in the company, the official said.
FSNL was established to exclusively handle all ferrous and non-ferrous scrap generated by government steel companies like Steel Authority of India Limited and Rasthriya Ispat Nigam Limited.