The government has approved balance sheet restructuring of Scooters India Ltd ahead of its proposed restructuring and the waiver of penal interest on loans of two other state-run entities.
The cabinet committee on economic affairs (CCEA) approved reduction of equity of Rs 85.21 crore in the share capital of Scooters India held by the government against accumulated losses with retrospective effect from March 2013.
The government said this is expected to clear a “hurdle in the process of disinvestment of the company” based in Lucknow. The government has identified Scooters India along with many other nonstrategic PSUs for strategic sale.
The company that largely makes three-wheelers reported Rs 10.27 crore loss in FY17.
Source: Economic Times