Disinvest to pension funds, retail buyers

| March 9, 2019

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The Cabinet has empowered a ministerial panel to take a call on strategic disinvestment of state-owned enterprises. Whether this, reminiscent of the UPA government’s strategy of setting up groups of ministers, would help quicker decision-making is debatable. The best way to disinvest is through the market to retail investors, and not asking, say, listed PSUs to buy stakes of other PSUs from the government. Pension funds and provident funds are likely to participate when the government sells chunks of shares in PSUs and gain from the control premium someone might find it worth paying to accumulate shares from distributed holders. This would be good for the companies, bring in money for the government and lead to better management of these companies.

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Rakuten Digital Commerce: Brazil's first e-commerce platform, now with the world's largest Internet ecosystem! Rakuten Digital Commerce was the first company to provide virtual stores in Brazil since 1995 when it was called Ikeda.

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Rakuten Brasil

Rakuten Digital Commerce: Brazil's first e-commerce platform, now with the world's largest Internet ecosystem! Rakuten Digital Commerce was the first company to provide virtual stores in Brazil since 1995 when it was called Ikeda.

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