Coalition sets out its privatization stall

Singh: the government of the new Indian prime minister has set itself modest targets for privatization proceeds in the year ahead and is likely to pursue the sale of minority stakes

The new coalition government led by Indian prime minister Manmohan Singh will kick off privatization sales with a billion-dollar initial public offering in September.

On offer is 10.5% of the shares in National Thermal Power Corporation (NTPC), the sixth-largest producer of thermal power in the world. Half of the shares are owned by the government, according to sources at Kotak Bank, the lead arranger to the flotation.