Govt to relook BPCL divestment plan submit enlargement

The authorities will relook at plans for the divestment of Bharat Petroleum Corporation Ltd (BPCL) submit the completion of enlargement plans on the firm, a supply conscious of developments advised reporters on Wednesday. The supply, who didn’t want to be quoted stated, that the privatisation of BPCL had been stalled as there was just one bidder within the fray. The authorities had deliberate to promote its complete 52.98 per cent stake in BPCL and invited Expressions of curiosity (EoI) in March 2020 and obtained bids from Anil Agarwal’s Vedanta group and US enterprise funds Apollo Global Management Inc and I Squared Capital Advisors. The two enterprise funds subsequently withdrew their curiosity within the acquisition.

“When there is a single bidder, they dictate the narrative,” the individual stated, noting that BPCL was in for a significant enlargement together with the organising of a petrochemicals advanced in Bina in Madhya Pradesh.

The supply additionally famous that the federal government would look into whether or not it will do partial or full disinvestment of BPCL.

Volatility in international crude oil costs in addition to intervals during which state-owned oil advertising and marketing corporations have needed to retail gas at a loss might have impacted investor curiosity in BPCL, the second-largest gas retailer within the nation. At present market costs, the federal government’s stake in BPCL is price over Rs 38,000 crore.