ITS HIGH TIME TO INVEST SOME THOUGHT IN DISINVESTMENT
Disinvestment is one of the most discussed topics in today’s economy. The Government is aiming to raise the disinvestment proceeds to 1 lakh Crore by the end of this Financial Year. The process for disinvestment of 24 Central Public Sector Enterprises has started already. While there might be voices for or against it, but every rational business minded individual would agree that disinvestment is the need of the hour.
What exactly is disinvestment?
To put it in the layman’s language selling of shares of Public Sector Units is disinvestment. Disinvestment of PSUs is generally undertaken when it becomes burdensome and problematic for the government to run it smoothly. The Government through strategic disinvestment can then raise revenue as well as breathe life into the PSU concerned. Disinvestment maybe through various methods like Initial Public Offer, Further Public Offer, Sale Offer, Strategic sale, Institutional Placement programs, etc.