Question
Consider the following statements: 1. Minority
Stake Sale happens when the Government intends to sell a part of the PSU from its overall shareholding, given that post stake sale of the GOI ownership is still above 26%. 2. Asset Monetization involves creation of new sources of revenue by unlocking of value of unutilized or underutilized public assets. 3. Complete privatization is a form of majority disinvestment in which the Government does not retain any voting powers. Which of the above statements are correct?Solution
Statement 1 is incorrect: Minority Stake Sale happens when the Government intends to sell a part of the PSU from its overall shareholding, given that post stake sale the GOI ownership is still above 51%. Statement 2 is correct: Asset Monetization involves creation of new sources of revenue by unlocking of value of hitherto unutilized or underutilized public assets. Statement 3 is correct: Complete privatization is a form of majority disinvestment wherein 100% control of the company is passed on to a buyer.
Which of the following statements is correct?
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