Leading private steel firms such as Tata Steel, Essar, JSW, Ispat are expected to pick up equity stakes in International Coal Ventures Ltd (ICVL). As per sources, these companies are looking forward to take a majority stake in ICVL. It is a joint venture of state-owned companies.
The main idea of such a joint venture is to acquire overseas coal assets. According to an official at the steel ministry, this special purpose vehicle (SPV) will find a global opportunity as its preliminary objective. The private companies have shown their immense interest to be a partner of this SPV.
Five state-owned companies have formed this ICVL. The companies are National Mineral Development Corporation (NMDC), Coal India Ltd (CIL), Steel Authority of India Ltd (SAIL), Rashtriya Ispat Nigam Ltd (RINL) and NTPC. Private participation is expected to strengthen ICVL. Moreover, it has been expected that it will be helpful in competing with large global companies in the international arena.
According to an official, some of the interested private companies had a discussion in this issue and soon it will be made public.