The planned strategic sale of two subsidiary units of Indian state-run steel producer Steel Authority of India Limited (SAIL) is likely to spill over to the next fiscal year, a government official said on Thursday, January 21.
The official said that financial bids for two of SAIL’s units - Salem Steel Plant (SSP) and Bhadravati Steel Plant (BSP) - are expected to come in within March 31, 2021, but that the necessary security clearances if required in case of a successful bidder and clearance from the Competition Commission of India (CCI) may take time and completion of the transaction is likely to spill over into the fiscal year 2021-22.
The Department of Investment and Public Asset Management (Dipam), mandated to handle the disinvestment process, had invited submission of expressions of interest in July 2019.
Dipam has also clarified that the entire sales proceeds from the disinvestment of the two subsidiaries will accrue to SAIL and will not be transferred as revenues of the Indian government.