The Union Finance Ministry has received financial bids for the disinvestment of state-owned helicopter service provider Pawan Hans.
“The financial bids for Pawan Hans disinvestment have been received by the transaction advisor. The process now moves to a concluding stage,” DIPAM Secretary Tuhin Kanta Pandey said in a tweet on Saturday (18 December).
Last year, the ministry had in a fresh preliminary information memorandum sweetened the terms to sell the helicopter operator in its fourth attempt, reducing the minimum networth for potential bidders and the lock-in period of investment and allowing the successful bidder to sell assets after a year, reports Business Standard.
The lock-in period for investment has been reduced to one from three years earlier.
Further, the new offer document also makes way for a change in shareholding pattern by allowing the lead investor to own 26 per cent stake with the other members holding at least 10 per cent each.
Despite sweetening the terms, the central government has also inserted a business continuity clause to ensure that the successful bidder does not end up liquidating or closing down the company’s business for three years.