GoM to look into HZL stake sale

The Cabinet Committee on Economic Affairs on Thursday referred the issue of selling the government's residual 30 per cent stake in Hindustan Zinc Ltd to a Group of Ministers for a final decision.

It also referred the proposed new industrial policy for the North-East to another GoM.

In 2002, the government sold 26 per cent in Hindustan Zinc through a strategic sale, in a deal worth Rs 445 crore (Rs 4.45 billion), to Sterlite Industries. Again, in 2003, the government sold another 18.92 per cent to Sterlite.

Currently, Sterlite holds 64.92 per cent in Hindustan Zinc, while the government holds 29.54 per cent. The balance 5.54 per cent is held by financial institutions and the public.

The government is considering the put option for selling its residual stake.