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Question

In which method does the government sell a major portion of its stakes to a strategic buyer and also gives out management control?

A
Golden share.
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B
Warehousing.
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C
Strategic sale.
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D
Cross-holding.
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Solution

The correct option is C Strategic sale.
Strategic sale is the method in which the government sells a major portion of its stakes to a strategic buyer and also gives out management control. It is a part of disinvestment process. In simple words, strategic stake sale means giving away management control.

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