Bharat Petroleum Corporation Limited (NSEI:BPCL) on May 27, 2021 said it has no intention to sell a part of its stake in Petronet LNG Limited (NSEI:PETRONET) and Indraprastha Gas Limited (BSE:532514) (IGL) to help its new owner avoid making an open offer for the two gas companies. As per the legal position evaluated by the Department of Investment and Public Asset Management (DIPAM) - the department running the process for the sale of the government's entire 52.98% stake in BPCL - the acquirer of BPCL will have to make open offers to the minority shareholders of Petronet and IGL for the acquisition of 26 per cent shares. To bailout the new owner of BPCL spending additional INR 190 billion in open offers for firms where it will have no operation control, it was suggested that BPCL sell a part of its shareholding in the two firms and shed promoter status.

"We have no intention to pare down our stake in IGL or Petronet. Any paring down will be value destruction," BPCL Director (Finance) N Vijayagopal said at an earnings call with investors. He said as per SEBI regulations, there will be a need for the new promoter of BPCL to make an open offer for IGL and Petronet.

BPCL and the government are working with SEBI to see "how the requirement of the open offer is avoided," he said without giving details. "We are working with the government of India to see that the value of BPCL is protected," he said.