The coal ministry has floated a draft cupboard be aware for looking for inter-ministerial views on the proposal to listing 25% shares of Coal India arm BCCL.
As part of Coal India (CIL) restructuring, the federal government has determined for an preliminary itemizing of 25% shares of Bharat Coking Coal Ltd. (BCCL).
“Draft cabinet note for initial listing of 25% of shares of… BCCL has been approved by the Minister of Coal,” a supply mentioned, including that “the draft cabinet note in respect of BCCL has been sent for IMC consultation.” A question despatched to a Coal Ministry official on the identical, remained unanswered until the submitting of the story.
CIL had mentioned final month that it was planning to divest 25% stake in its unlisted arm BCCL and can go for the following itemizing of the subsidiary on inventory exchanges after acquiring additional clearances.
A gathering of the board of administrators to this impact was held on March 10, 2022, CIL had mentioned in a regulatory submitting.
“As advised by MoC (Ministry of Coal), CIL Board in its 438th meeting held on March 10, 2022 had accorded its ‘in-principle’ approval to divest 25% of paid-up share capital of BCCL held by CIL and its subsequent listing on stock exchanges and advised to forward the proposal to Ministry of Coal for obtaining further clearances,” the submitting had mentioned.
Stating that the corporate’s board had given solely ‘in principle’ approval to the proposal, CIL mentioned that solely after getting additional clearance from the federal government, subsequent motion can be initiated.
“On receipt of further clearance from MoC the same would be placed to CIL board and the decision of CIL board would be promptly disseminated to stock exchanges,” the submitting had mentioned.
In FY21, in opposition to the goal of 37.13 MT BCCL achieved a manufacturing of 24.66 million tonnes (MT). The internet turnover of the corporate throughout FY21 was ₹6,149.81 crore in opposition to the earlier 12 months turnover of ₹8,967.56 crore. This vital fall in gross sales affected the underside line of the corporate’s funds, in keeping with the annual report of BCCL.
As a results of which, the corporate couldn’t preserve its profitability in contrast to earlier years and incurred a internet loss (LBT) of ₹1,577.06 crore. Its PBT (revenue earlier than tax) stood at ₹991.12 crore in 2019-20, the report mentioned.
Coal India accounts for over 80% of home coal output.
BCCL was included in January, 1972 to function coking coal mines working within the Jharia and Raniganj Coalfields. It was taken over by the federal government on October 16, 1971. It is a Public Sector Undertaking engaged in mining of coal and allied actions.