The coal ministry has floated a draft cabinet note for searching for inter-ministerial views on the proposal to checklist 25 per cent shares of Coal India arm BCCL.
As a component of Coal India (CIL) restructuring, the federal government has determined for an preliminary listing of 25 per cent shares of (*25*) Coking Coal Ltd (BCCL).
“Draft cabinet note for initial listing of 25 per cent 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 final month mentioned that it’s planning to divest 25 per cent stake in its unlisted arm BCCL and can go for the next listing of the subsidiary on stock exchanges after acquiring additional clearances.
A meeting 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 per cent 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 company’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 could 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 FY ’21, in opposition to the goal of 37.13 MT BCCL achieved a manufacturing of 24.66 million tonnes (MT). The internet turnover of the company throughout FY’21 was Rs 6,149.81 crore in opposition to the earlier year turnover of Rs 8,967.56 crore. This vital fall in gross sales affected the underside line of the company’s funds, in response to the annual report of BCCL.
As a end result of which, the company couldn’t keep its profitability not like earlier years and incurred a internet loss (LBT) of Rs 1,577.06 crore. Its PBT (revenue earlier than tax) stood at Rs 991.12 crore in 2019-20, the report mentioned.
Coal India accounts for over 80 per cent of home coal output.
BCCL was integrated 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.