India invites bids for privatisation of Indian Medicines Pharmaceutical

NEW DELHI (Reuters) -India has invited bids for the privatisation of Indian Medicines Pharmaceutical Corporation, the government said on Thursday.

It plans to sells its 98.1% stake in the company that makes alternative medicines, according to a government document. The remaining 1.89%, held by Kumaon Mandal Vikas Nigam Ltd., a firm owned by the northern state of Uttarakhand, will also be offloaded through the transaction.

The government previously tried to sell Indian Medicines Pharmaceutical in 2019. Stake sales in other state-owned firms such as BEML and Shipping Corp of India, announced in 2019, have also been hit by several delays.

Interested buyers in Indian Medicines Pharmaceutical should submit initial bids to the government by Oct. 15, according to the government document.

The company has reported a 205% jump in profit after tax in 2021/22 to 337.6 million rupees ($4.08 million). Its revenue from operations rose to 2.6 billion rupees in 2021/22 from 1.6 billion rupees the previous year.

(Reporting by Nikunj Ohri; Editing by Sharon Singleton and Susan Fenton)