The Hindu : Business : TCG refuses to sell stake in Haldia Petro

Online edition of India's National Newspaper
Thursday, Apr 13, 2006

Business

Business

TCG refuses to sell stake in Haldia Petro

Bengal Govt. had offered to buy TCG's holding not lower than Rs 28.80 per share

NEW DELHI: The dispute surrounding Haldia Petrochemicals Ltd looks far from over with The Chatterjee Group (TCG) on Wednesday refusing to sell its stake to the West Bengal Government even as the Company Law Board (CLB) deferred the matter for further hearing till July 4.

The CLB, which had earlier suggested that the state government through the West Bengal Industrial Development Corporation, either buy the TCG's stake or sell its own to resolve the matter, also gave a go ahead to the HPL board meeting but warned both parties against raising the "contentious issues.''

Acting on CLB's suggestion, the West Bengal Government had offered to buy rival TCG's entire holding in HPL at a price not lower than Rs 28.80 per share. The CLB had asked TCG to convey its response by Wednesday.

However, during the proceedings TCG refused the proposal saying WBIDC's offer was not clear and there was no clarity on price.

During the proceedings, TCG did not agree to sell its stake in Haldia Petrochemicals and virtually projected itself as a buyer rather than a seller.

``I am a buyer not a seller in this project,'' the TCG counsel said.

After the CLB suggestion, WBIDC had made an offer to buy TCG's stake at a price not less than Rs 28.80 per share.— PTI

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