There are certain businesses where government has its advantages, but steel making is not one of them. It is one of the really capital intensive industries and requires real smarts to keep making good incremental Capex decisions; Operational efficiency is critical. Longer it stays with the government, lower will be its value. If you chose to invest, invest on the buyer who buys the asset and not on the asset.
NMDC by itself isn’t a bad option: Mining is slightly more suitable for a government than a steel plant. There may be an aberration, but we don’t invest based on speculation. NMDC has great assets; Govt can earn significant revenue through royalty & stake with an efficient operator, but my bet is govt will continue to have it, to create “Chairman” posts…
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