Date:08/05/2008 URL: http://www.thehindu.com/2008/05/08/stories/2008050855811800.htm

Business

Centre may divest residual stake in VSNL

NEW DELHI: The Central Government is considering divesting its 26 per cent residual stake in Tata Communications Ltd. (formerly VSNL), a deal that could fetch the Central Exchequer about Rs. 3,650 crore at current market prices.

The Government holds 26.12 per cent stake in Tata Communications Ltd. and going by the market price the value of the residual stake is a little over Rs. 3,650 crore as the company shares are changing hands at Rs. 491 a share. The Telecom Commission, headed by Secretary Siddhartha Behura, is meeting here on Thursday to discuss divestment of the stake in the Tatas’ owned company, among other items on the agenda, an official in the Department of Telecom (DoT) said. — PTI