‘Have positive indications on buying govt stake in HZL’
17 Nov 2013 3:20 AM IST
Vedanta Resources on Friday said that it has received positive ‘indications’ from government on the mining conglomerate's move to acquire the remaining stake in the state-owned Hindustan Zinc Ltd, and it may happen soon.
‘We are also looking forward to buying remaining stake of government in Hindustan Zinc. We are engaged with the government and it should happen,’ Vedanta chairman Anil Agarwal said in a conference call, announcing Vedanta's results for April-September, 2013.
‘We are getting the indications but it is a democratic process. Sometimes it gets delayed but it will happen,’ Agarwal added.
The government has not taken a final decision yet on selling stakes in the two erstwhile PSUs including HZL and the consultation in between various departments.
The Mines Ministry had said in a draft Cabinet Note last month that Parliament approval is required for selling HZL's remaining shares as it was incorporated through a statute.
However, Finance Ministry has taken a contrasting view, saying that HZL is no more a public sector company and selling shares through auction route does not require Parliament nod.
During 2001-2003, Vedanta had acquired 51 per cent stake in Bharat Aluminium Company (Balco) and 64.92 per cent stake in HZL.
On 30 October, Vedanta had renewed shareholders' nod to empower it for making offers for acquiring remaining stake of the government in HZL and Balco. The nod was also for raising the offers by up to 43 per cent or up to Rs 24,663 crore ($3.969 billion) from the last offer of Rs 17,275 crore, made in January 2012.
‘We are also looking forward to buying remaining stake of government in Hindustan Zinc. We are engaged with the government and it should happen,’ Vedanta chairman Anil Agarwal said in a conference call, announcing Vedanta's results for April-September, 2013.
‘We are getting the indications but it is a democratic process. Sometimes it gets delayed but it will happen,’ Agarwal added.
The government has not taken a final decision yet on selling stakes in the two erstwhile PSUs including HZL and the consultation in between various departments.
The Mines Ministry had said in a draft Cabinet Note last month that Parliament approval is required for selling HZL's remaining shares as it was incorporated through a statute.
However, Finance Ministry has taken a contrasting view, saying that HZL is no more a public sector company and selling shares through auction route does not require Parliament nod.
During 2001-2003, Vedanta had acquired 51 per cent stake in Bharat Aluminium Company (Balco) and 64.92 per cent stake in HZL.
On 30 October, Vedanta had renewed shareholders' nod to empower it for making offers for acquiring remaining stake of the government in HZL and Balco. The nod was also for raising the offers by up to 43 per cent or up to Rs 24,663 crore ($3.969 billion) from the last offer of Rs 17,275 crore, made in January 2012.
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