The Heavy Industries Ministry has decided to divest government’s holdings in Scooters India. “We have sent a Cabinet note related to Scooters India disinvestment. NITI Aayog had proposed its disinvestment. It is likely to come up before the Cabinet soon. Once the Cabinet gives an in-principle approval to the proposal, the modalities will be chalked out,” Heavy Industries Minister Anant Geete told a wire agency.
Despite Government’s revival attempts including sanctioning a “financial package”, Scooters India continued incurring losses over a long period and eventually was declared “sick”. The company used to manufacture the popular Lambretta scooters.
The disinvestment in Scooters India is part of the Government’s larger plans of disinvestment and strategic sale in central sector public sector undertakings.