With eye on PSU disinvestment, Anil Agarwal to form $10 bn fund with Centricus

Vedanta Resources Executive Chairman Anil Agarwal on Friday said he has partnered with London-based global investment firm Centricus for creating a $10 billion fund that will invest in stake sale of public sector companies by the Indian government.

Earlier, Agarwal had praised the Budget's focus on disinvestment. In a tweet, he announced his tie up with Centricus.

Teamed up with London-based firm Centricus to create a $10 bn fund that will invest in stake sale of public sector companies. We are excited with the Union Budget's strong focus on disinvestment and would like to participate in the exercise.

- Anil Agarwal (@AnilAgarwal_Ved) February 12, 2021

Also read: BPCL sale: Anil Agarwal's Vedanta in talks with banks to raise $8 billion

Agarwal said Hindustan Zinc and Bharat Aluminium Company Ltd, former public sector companies which were taken over by Vednata, show the group's record in turning around companies post disinvestment.

.@Hindustan_Zinc & @Balco_India exemplify our track record of turning around companies post disinvestment without retrenching a single employee.@VedantaLimited #DeshKiZarooratonKeLiye

- Anil Agarwal (@AnilAgarwal_Ved) February 12, 2021

Vedanta has also put in bids for government's stake sale in Bharat Petroleum Corporation Ltd.

In her Budget speech, Finance Minister Nirmala Sitharaman had promised continuation of the disinvestment agenda, and also gave the highlights of the strategic disinvestment policy for central public sector enterprises (CPSEs) approved by the government.

"In strategic sectors, there will be bare minimum presence of the public sector enterprises. The remaining CPSEs in the strategic sector will be privatised or merged or subsidiarised with other CPSEs or closed," as per the policy. Besides, CPSEs in non-strategic sectors will also be privatised or closed.

The government has set a target of raising Rs 1.75 lakh crore from disinvestment in 2021-22.

Also read: Restarting stalled mines can help achieve $5 trillion economy target: Anil Agarwal

Also read: Privatisation spree: Govt may bring down number of PSUs to 24