Contrary to fears that the selloffs of BPCL and Air India will be delayed till the next fiscal, the Centre now expects to complete the exercise in this fiscal as the second wave of the coronavirus subsides. The financial bids will now be called in September against apprehensions the bids can only be called in the fourth quarter, officials said.
They said the Union cabinet would soon consider tweaking the foreign direct investment policy to allow 100 per cent ownership of a state-owned refinery by global players through the automatic route.
Both the bidders of Air India and BPCL given virtual data room access and the government replying to their queries, officials expect the due diligence to get over in the next three months. They said the bidders are likely to begin site visits soon.
The BPCL divestment that involves the sale of the government’s entire 52.98 per cent stake in the PSU, was cleared by the Union cabinet in November 2019. But there has been limited progress because the Covid outbreak has dimmed global oil majors’ interest in the stake sale.
