ET reported that the Indian government will soon ask Sterlite Industries to make an offer to buy out its residual 49% stake in Bharat Aluminium Company Ltd.

A government official privy to the development told ET that "A formal proposal is being sought from Sterlite.”

Sterlite had acquired 51% stake in the company in a strategic sale by the government in 2001 for INR 551 crore.

A similar route could also be adopted to disinvest residual stake in Hindustan Zinc. Government's 29.5% stake in Hindustan Zinc is worth over INR 15,000 crore.

The government plans to raise INR 40,000 crore from disinvestment of its stake in public sector enterprises in the current fiscal but has been able to raise just INR 1,100 crore so far. It can raise nearly INR 20,000 crore by selling its stake in these companies.

A Vedanta spokesperson said that "We are yet to hear anything on this and therefore are not in a position to comment.”

(Sourced from ET)