No plans to divest stake in Shipping Corp, Dredging Corp: Govt
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No plans to divest stake in Shipping Corp, Dredging Corp: Govt

Last Updated: Thursday, January 21, 2010, 19:16
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No plans to divest stake in Shipping Corp, Dredging Corp: Govt Mumbai: The Government has no plans to divest stake in maritime major Shipping Corporation of India (SCI) and port dredging firm--Dredging Corp of India (DCI), a senior government official said today.

"As of now, there is no immediate proposal that we are working on. We will have to look at the corporations' own needs and the government's fiscal requirement. They (SCI and DCI) will manage on their own," Shipping Secretary, K Mohandas, told reporters here.

Shares of Shipping Corp closed down by 5.57 per cent on the Bombay Stock Exchange today at Rs 163.50. The scrip of Dredging Corp of India too nosedived by 10.65 per cent to close at Rs 649.90.

The Government holds over 80 per cent stake in Shipping Corp while in Dredging Corp it owns 78.56 per cent shares. In July last year, the Shipping Ministry had announced plans to off-load stake in many public sector units, including SCI and DCI.

"We feel that this is the time for Shipping Corp to acquire more vessels and expand their fleet, because we feel that there is some advantage in current market conditions for acquisition of vessels," Mohandas said.

He added India was weak in the area of dredging of ports and DCI needed to enhance its capacity by collaboration with international companies.

PTI

First Published: Thursday, January 21, 2010, 19:16

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