The Hindu : Business : SPIC watching ownership profile of Jordan Phosphate

Online edition of India's National Newspaper
Saturday, Mar 11, 2006

Business

Business

SPIC watching ownership profile of Jordan Phosphate

K. T. Jagannathan

CHENNAI: Southern Petrochemical Industries Corporation Ltd. (SPIC) is watching with more than cursory interest the partial privatisation of Jordan Phosphate Mines Company Ltd. (JPMC) with whom it had floated a joint venture Indo-Jordan Chemicals Company Ltd. (IJC) in 1992.

SPIC is the major shareholder in IJC with 52.2 per cent stake. JPMC has 34.8 per cent and the Arab Investment Company SAA, Saudi Arabia, 13 per cent.

The government of Jordan has sold 37 per cent stake in JPMC to Brunei Investment Agency (BIA). Still, it retains 25.6 per cent stake in JPMC.Theoretically, there is no change in the ownership of IJC. Yet, the profile of one of the promoters has taken a metamorphosis.

A. C. Muthiah, Chairman of the SPIC Group, told The Hindu that "it (the equity change at JPMC) is good for us.'' Asked about the group's plan to exit IJC, he said, "We will have to talk to them (the private sector owners of JPMC)."

SPIC had long ago declared its intention to quit the joint venture without prejudice to the supply of phosphoric acid to its fertilizer plant at Tuticorin.

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