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The government has granted another extension, until August 2026, for public sector undertakings (PSUs) to meet the
25 per cent minimum public shareholding (MPS) requirement. This marks the latest in a series of reprieves for government-controlled PSUs, which were initially expected to comply by August 2013. In contrast, private firms faced penalties for missing their initial June 2010 deadline.
Currently, 22 PSUs — including half a dozen banks — have government holdings exceeding 75 per cent, requiring stake sales worth Rs 3.3 trillion to reach the target at current prices. Excluding the 2022-listed Life Insurance Corporation of India,
First Published: Aug 04 2024 | 11:55 PM IST