Government to sell 20% in NFL, 10% in RCFL

Government to sell 20% in NFL, 10% in RCFL

Government: National Fertilizers Limited (NFL) Miniratna (Cat-1) company is an Indian state-owned corporation. That manufactures chemical fertilizers, organic fertilizers and industrial chemicals. Rashtriya Chemicals & Fertilizers Ltd. (RCFL) is a Public Sector Undertaking (PSU) in India.

The government will divest a 20% stake in National Fertilizers (NFL) and 10% of its holding in Rashtriya Chemicals & Fertilizers (RCFL) through the offer for sale (OFS) route. While it currently holds 75.71% state in NFL and a 75% stake in RCFL.

Moreover, the department of investment and public asset management (DIPAM) has sought expressions of interest. While from merchant bankers for both divestment projects and legal advisers by May 5th.

On the other side, the Government of India intends to disinvest 20% paid-up equity capital of NFL out of its shareholding of 74.71%. Through the ‘Offer for Sale‘ (OFS) method of shares by promoters. The department said in a notice inviting tenders issued April 12th.

The government will also consider allotting shares to eligible and willing employees of the NFL at a discount on the discovered price. While the lowest cut-off price, up to a maximum of a certain percentage of the OFS size. Subsequent to the completion of the OFS transaction.

Apart, DIPAM has sought financial bids from international property consultants by April 27th. For monetizing flats or apartments belonging to Hindustan Cables, located in Kolkata and Allahabad in two clusters. The department has sought similar financial bids on April 28th, for monetizing land or flats belonging to BEML, located in Mumbai, Kolkata, West Bengal, and Chhatisgarh, in separate clusters.

While the consultancy firms impanelled will be required to prepare feasibility reports in about three weeks for assets in each cluster allocated to them. However, provide end-to-end transaction advisory services and ensure the completion of these transactions.

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