What is mean by Dis-investment

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What is mean by Dis-investment ..

Answer / rakesh panchal

Dis-investment means uploading the government shares in the
secondary market (ie: shares of Public ltd company like
ONGC, BHEL, GAIL etc).

Dis-investment is generally done to raise the capital for
such companies.

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What is mean by Dis-investment ..

Answer / basanta kumar senapati

Selling of government shares/units to the private owners by
government except some special industries which are
considered as 'Navratnas'and under controlled, managed by
governmnt only.For example SEB(STATE ELECTRICITY BOARD)of
some states has been handed over to CESCO,NESCO etc.

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What is mean by Dis-investment ..

Answer / chandu

Definition

A reduction in capital investment.

1. The action of an organization or government selling or
liquidating an asset or subsidiary. Also known
as "divestiture".

2. A reduction in capital expenditure, or the decision of a
company not to replenish depleted capital goods.

1. A company or government organization will divest an
asset or subsidiary as a strategic move for the company,
planning to put the proceeds from the divestiture to better
use that garners a higher return on investment.

2. A company will likely not replace capital goods or
continue to invest in certain assets unless it feels it is
receiving a return that justifies the investment. If there
is a better place to invest, they may deplete certain
capital goods and invest in other more profitable assets.

Alternatively a company may have to divest unwillingly if
it needs cash to sustain operations.