The union government may involve state-run developers such as NBCC (India) Limited to maximise value from the sale of sick and loss-making public sector undertakings (PSUs) that has failed to generate appropriate investors in the initial round of bidding.
As per a plan shared by the government officials aware of the development, non-core assets including land and buildings of several weaker PSUs may be given over to specialised state-run businesses for redevelopment for sale through a bidding process or to realise higher value.
Redeveloped land may be offered to investors on sublet while ownership of plant and machinery could be transferred completely.
The central government's plan will generate an entity on the line land management group that could be in the shape of a special purpose vehicle (SPV) with participation from experienced firms such as NBCC.
An approval for such groups may be taken from the union cabinet.
According to the sources, the Department of Investment and Public Asset Management (DIPAM) has drawn up a plan for strategic sale in over three dozen PSUs, which includes Air India, Dredging Corporation, BEML, Scooters India, Bharat Compressors, Bhadrawati, Salem Durgapur units of steel giant SAIL.
This new plan will involve groups like NBCC which will help some of these entities to get overall higher valuations as their operations would be restructured between core and non-core activities and then put up for sale.
The new measures would be different from rupees 6 lakh crore asset NMP monetisation plan that were announced by the government where brownfield project in various sectors would be monetised by being the private sector for management & development and operations of some these assets for a time bound agreement period.
The Centre had framed regulationa on closure of loss-making firms in 2016, under which a land management agency (LMA) was to be appointed by the administrative ministry or the CPSE's board to assist in disposal of land.
In the new plan, such activities can be taken up by another CPSE such as NBCC that can carry on the work of redevelopment on payment of a fee.