NewDelhi : The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Narendra Modi, today given its approval to list seven Central Public Sector Enterprises(CPSE) on the Stock Exchange through Initial Public Offering (IPO) /Further Public Offer (FPO). These PSUs are Telecommunication Consultants (India) Ltd.[TCIL], RailTel Corporation India Ltd, National Seed Corporation India Ltd. (NSC) , Tehri Hydro Development Corporation Limited (THDC) , Water & Power Consultancy Services (India) Limited [WAPCOS Ltd.] , FCI Aravali Gypsum and Minerals (India) Limited [FAGMIL], and Kudremukh Iron Ore Company Limited (KIOCL) . While KIOCL would be listed through the FPO route all others would be listed through IPO.
The listing of CPSEs on the exchange shall unlock their value and encourage investor participation in the CPSEs. Further, Alternative Mechanism comprising of the Finance Minister, Minister of Road Transport & Shipping and the Minster of concerned administrative ministry has been empowered to decide on extent, mode of disinvestment, pricing, time etc. of listed CPSEs (including CPSEs to be listed in future).
The scope of eligibility criteria for listing of CPSEs has been expanded. CPSEs with positive net worth and net profit in any of the immediately three preceding financial years shall be eligible for listing on the Stock Exchange.