Cabinet okays sale of India’s first pharma firm
Thursday, December 29, 2016
New Delhi, Dec 28: In the second strategic sale approval in over 12 years, the Cabinet today cleared the sale of India’s first pharma company Bengal Chemicals and Pharmaceuticals Ltd as well as Hindustan Antibiotics Ltd after selling their surplus land.
The Cabinet headed by Prime Minister Narendra Modi also approved closure of Indian Drugs and Pharmaceuticals Ltd (IDPL) and Rajasthan Drugs and Pharmaceuticals Ltd (RDPL). The strategic sale approval is just the second in over 12 years. In September, the Cabinet had cleared strategic sale of Bharat Pumps and Compressors Ltd.
These will be the first privatisation since sale of Jessop and Co in 2003-04 under the NDA government headed by Prime Minister Atal Bihari Vajpayee. BCPL and HAL are among the public sector units that NITI Aayog has identified for sale of government’s majority stake to private companies in order to bring in greater efficiency and professionalism in their functioning.
At today’s meeting, Cabinet “approved the sale of surplus land of HAL, IDPL, RDPL and BCPL, as would be required, to meet their outstanding liabilities,” an official statement said.
Source: Economic Times (link opens in a new window)
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