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Delay leaves uncertain Centre’s Rs 80K cr sell-off within 2018-19
New Delhi, March 7 (IANS) Government’s Rs 80,000 crore disinvestment target looks difficult to achieve in the next three weeks of the current fiscal with uncertainties surrounding two key sell-off programmes — PFC-REC and Pawan Hans Ltd (PHL).
The Power Finance Corporation-Rural Electrification Corporation (PFC-REC) merger deal, by which PFC will buy out the government’s stake in REC, is expected to generate close to Rs 15,000 to 16,000 crore as disinvestment proceeds for the government.
As on February 28, the Centre has realised just Rs 56,473.32 crore from disinvestment, against the current fiscal’s budget estimate of Rs 80,000 crore.
The PFC-REC deal and Pawan Hans share sale were in the final stages but whether they can be completed over the next three weeks remaining in current fiscal is the question, an official source said.
In the case of the PFC-REC merger, the power finance firm’s shareholders will meet on March 19 to approve the takeover of the government’s entire stake in REC.
The Disinvestment Department, along with both companies, also has to work out the premium at which the government would sell its stake. The premium could be 14-15 per cent of the average share price, the benchmark being the similar deal involving HPCL and ONGC in 2018.
The deal between the two power sectors financing entities involves PFC buying out government’s entire 52.85 per cent stake in REC.
While the government expects Rs 15,000 crore from the deal, it will require to get consent from foreign lenders since REC has cumulative foreign debt of around $1.85 billion that is slated to mature in phases till 2028.
Obtaining the foreign lenders approval before the March 19 PFC Board meeting is crucial, sources said, adding that PFC is in the process of getting the required consent.
In case of the Pawan Hans divestment, the helicopter producer has managed to generate interest among bidders, a source said.
“The transaction advisor’s reserve price for Pawan Hans would be submitted to the Ministry of Civil Aviation. This would then be send to the Evaluation Committee of DIPAM (Department of Investment and Public Asset Management,” he said.
To take a final call on this reserve price, a meeting of Finance Minister Arun Jaitley, who heads the Alternative Mechanism on strategic disinvestment, and Civil Aviation Minister Suresh Prabhu is scheduled to be called after the second week of March, the source added.
According to them, whether all this groundwork for the transactions can be completed within this month is the moot question.
The central government has 51 per cent stake in PHL and state-run explorer ONGC holds the remaining 49 per cent. PHL has a fleet of 46 choppers.
-IANS
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Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma
World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.
Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.
During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.
On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”
Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.
It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.
Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.
Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”
On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”
The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.