Moving ahead with plans to unlock value from unproductive assets, the finance ministry has invited bids seeking advisory services to help monetise non-core and fixed assets of public sector enterprises in order to meet its ambitious disinvestment target of Rs 90,000 crore for FY19.
The Department of Investment and Public Asset Management (DIPAM) has invited bids to empanel global consultants to help it monetise non-core assets such as land, buildings and operational assets such as pipelines, roads, mobile towers and electricity transmission lines held by state-owned firms. DIPAM expects the consultant to prepare feasibility reports for individual assets and to design both the model and the bidding process for asset sales.
“Many of the assets are sub-optimally utilised and can be appropriately monetised to create greater financial leverage and value for the companies and the government, is the shareholder. The government intends to monetise select non-core and other assets owned by CPSEs/PSUs/other government organisations using an appropriate model,” it said. The deadline for submission of bids is July 1. The selected bidders will be engaged by DIPAM initially for a year, which can be extended for a period of two years.
So far this year, the government has raised Rs 2,350.25 crore from PSU disinvestment. In 2018-19, it had collected Rs 85,000 crore from divestment proceeds.