Government Tuesday announced that it would sell 51% equity in Indian Petrochemcials, including 26% to a strategic partner in 90 days, and awarded disinvestment contracts in six hotels of India Tourism Development Corporation (ITDC). While government did not receive any bid for leasing of Ashoka Hotel in Delhi due to some land revenue wrangles, it also did not get any response for the sale of Hotel Ashoka in Manali.
Announcing the decisions taken at the meeting of the Cabinet Committee on Disinvestment, chaired by home minister L K Advani, disinvestment minister Arun Shourie told reporters that five other ITDC hotels would be sold for a total of about Rs 16 crore.
In addition, CCD decided to lease Hotel Ashoka at Bangalore for initial payment of Rs 4.11 crore as half of the projected turnover for the 30 year lease, he said adding that government would get a minimum guaranteed annual payment of Rs 3.4 crore every year, with a provision of 25% increase every five years.

In case the turnover is higher than government would get a share of 16.5% of total revenue instead of guarantee amount, he added.
Shourie said that government would transfer management control to successful bidder for 26% stake in IPCL and the new partner would have first right of refusal for remaining disinvestment of 25% equity that could be sold to public. Bureau Report