Concor

Sources say officials from Railways, Concor, Niti Aayog, finance and law ministries expected to take final call on pending issues regarding transfer of land to private player post disinvestment

The meeting is to be chaired by the cabinet secretary

The government will this month invite Expression of Interest or preliminary bids for privatising Container Corporation of India (Concor), an official said on Wednesday. The official said the bid document for Concor is almost ready and has to get approval from 'Alternative Mechanism' which is essentially a group of key Cabinet ministers. "We are trying hard to issue the Preliminary Information Memorandum inviting Expression of Interest (EoI) for Concor as quickly as possible. It should be issued this month, subject to approval," the official told PTI. The Cabinet, in November 2019, had approved strategic sale of a 30.8 per cent stake, along with management control, in Concor out of the government equity of 54.80 per cent. The government will retain 24 per cent stake post sell-off but without any veto powers. However, the stake sale was hanging fire as investors awaited clarity on the rail land lease policy and licensing fees. The Union Cabinet in September approved a revised policy

The latest development comes at a time when reports indicate that Maersk is planning to double its warehousing presence in India in the next one year

Sources indicate that Dipam is set to come out with an EoI by November first week

The government has received Rs 952 crore as dividend from three public sector companies, DIPAM Secretary Tuhin Kanta Pandey said on Friday. With this, the total dividend receipts of the government from CPSEs so far this fiscal stands at Rs 16,728 crore. "Government has respectively received about Rs 711 crore, Rs 141 crore and Rs 100 crore from IRFC, NALCO, and CONCOR as dividend tranches," Pandey tweeted.

Pre-EoI meeting expected to be held this week

Latest Railways circular also offers details on various terms of the new 'land lease policy' approved by Cabinet last month; existing landholders can extend their lease for up to another 35 years

The new logistics policy aims to trim the costs to single digits, from 13-14 per cent of the GDP at present, by 2030

Stocks to Watch Today: Analysts recommend lack of clarity on the new policy may limit the upside on Concor; Govt to acquire stake in Voda Idea after the stock stabilizes above Rs 10.

Sources also indicated that the current policy was causing a lot of leasable Railways land to go idle, notwithstanding the potential for terminal operations

The positive for the stock is that the new policy lifts the LLF overhang, clearing the way for divestment

CLOSING BELL: Shree Cement, BPCL, Tech M, Axis Bank, M&M, ICICI Bank, Ultratech Cement, Bharti Airtel, Bajaj Finserv, and SBI gained in the range of 2 per cent to 5 per cent

Move likely to pave way for Concor's strategic sale

Tuhin Pandey says LIC investors should be patient and look at the insurer's long-term prospects

Concor's Aggressive capex rollout unlikely, given past record and divestment uncertainty

The cement maker plans to serve its key markets of Chennai, South West Tamil Nadu and Kerala from its Kadapa plant in Andhra Pradesh through this initiative

The company had clocked a net profit of Rs 225.66 crore in the corresponding quarter a year ago

Replying to supplementaries during the Question Hour, Railways Minister Ashwini Vaishnaw said the process of CONCOR disinvestment started during the Congress regime in 1994-95

For Concor, the post privatisation rail land usage policy is yet to be finalised by the Ministry of Railways and hence the EoI could not be issued.