Govt to sell up to 25% stake each in 4 defence PSUs via IPO
The government is planning to list four defence public sector units (PSUs) by selling up to 25% stake in each of them through an initial public offering (IPO). The Cabinet in April cleared the disinvestment of these 4 PSUs under the defence ministry, and thereafter DIPAM invited bids from merchant bankers and legal advisors for managing the stake sales. DIPAM has invited bids for disinvestment in Bharat Dynamics, Garden Reach Shipbuilders & Engineers, Mazagon Dock Shipbuilders and Mishra Dhatu Nigam. The bids have to be submitted by August 18 to DIPAM, which handles disinvestment of public sector enterprises, the tender said.
Bharat Dynamics (BDL) is a Miniratna PSU. It was established in 1970 and is a manufacturer of guided missiles and allied defence equipment. Its authorised share capital is Rs 125 crore and the paid-up equity capital is Rs 122.19 crore as on January 31, 2017. BDL earned a profit-after-tax (PAT) of Rs 563.24 crore in 2015-16 and has a net worth of Rs 1,652.23 crore.
Garden Reach Shipbuilders & Engineers:
Garden Reach Shipbuilders & Engineers was incorporated in 1934. It was taken over by the government in 1960. It primarily constructs warships and auxiliary vessels for the Navy and the Coast Guard. Its authorised share capital is Rs 125 crore and paid-up share capital is Rs 123.84 crore as on January 31, 2017. The company’s PAT for 2015-16 is Rs 160.72 crore and net worth stood at Rs 1,064.41 crore.
Mazagon Dock Shipbuilders:
Mazagon Dock Shipbuilders (MDL) is a Miniratna PSU. It is the lead shipyard of India serving the nation’s strategic requirements. At present, MDL is constructing three major warship building projects and one submarine project. It was established as a public limited company in 1934. In 1960, the government took over the yard to further augment its warship development programme. And it was incorporated as a PSU. The authorised share capital of MDL is Rs 323.72 crore and paid-up share capital is Rs 249 crore as on March 31, 2016. The PAT for the fiscal 2015-16 is Rs 637.82 crore and its net worth stood at Rs 2,846.23 crore.
Mishra Dhatu Nigam Limited:
Mishra Dhatu Nigam Limited abbreviated as MIDHANI, is a specialized metals and metal alloys manufacturing facility located in Hyderabad, Telangana. MIDHANI is an ISO 9001:2000 company with modern metallurgical facilities and technical competence. Its The Authorized and Paid up Share Capital stood at ` 200.00 Cr. and ` 187.34 Cr. respectively, as on 31.03.2015. The Profit after Tax for the year end 2015 stood at Rs 102.13 Cr.
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