SPIC EYEING MCF AGAIN AS IDBI's BID DRAWS A BLANK
Article Abstract:
Spic, a member of AC Muthiah group, has evinced interest to acquire the ailing Mangalore Chemicals and Fertilisers (MCF) which has accumulated losses of over Rs300 crore. Industrial Development Bank of India (IDBI), which had made an open offer for MCF, a part of UB group, has failed to find any takers for the company. Spic's earlier proposal to acquire the company had been rejected and Spic has decided not to keep earnest money deposit of Rs5 crore as recommended by IDBI. Instead, Spic has approached the Karnataka government for the deal. Spic is adhering to its earlier demand for one-time interest waiver of Rs170 crore. It is also demanding for derating the plant capacity by nearly 50 percent to benefit higher prices from the central government. The UB group's proposal includes withdrawal of liabilities aggregating to Rs113 crore by the state government and waiver of interest by banks and FIs together amounting to Rs269 crore. (gs)
Comment:
Shows interest to acquire ailing Mangalore Chemicals & Fertilizers which has accumulated losses of over Rs300 crore
Publication Name: Economic Times
Subject: Business, international
ISSN: 0013-0389
Year: 1998
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IDBI PANEL FOR SELLING ESSAR PELLET PROJECT TO OUTSIDER
Article Abstract:
Essar Steel Ltd had proposed to hive off its Rs1000 crore pelletisation project to group company, Essar Minerals Ltd, but the expert committee of the Industrial Development Bank of India has recommended that an outside buyer should be considered instead. The proposal was to hive off the pelletisation project to Essar Minerals for Rs997 crore but IDBI feels that due to the huge loan outstandings, none of the Essar group companies will be in a position to invest large amounts in the project. The IDBI panel says that the Essar group is itself trying to raise loans to pay short-term foreign currency syndicated loan of $40 million which is due for repayment in March 1999 and five-year Floating Rate Notes for $250 million payable in July 1999. (khr)
Comment:
Essar Steel Ltd had proposed to hive off its Rs1000 crore pelletisation project to group company, Essar Minerals Ltd, but the expert committee of the Industrial Development Bank of India has recommended that an outside buyer should be considered instead.
Publication Name: Economic Times
Subject: Business, international
ISSN: 0013-0389
Year: 1999
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IDBI CALLS FRESH BIDS FOR MCF, THIRD IN TWO YEARS
Article Abstract:
The Industrial Development Bank of India has advertised for a fresh bid for Mangalore Chemicals & Fertilisers, which has been under the purview of the Board for Industrial and Financial Reconstruction for the past 4 years. Bids are being invited for this Rs427 crore UB group company for the third time in 2 years. The UB group has proposed a second revival package which includes withdrawal of Rs113 crore contingent liabilities by the Karnataka Government and waiver of Rs269 crore interest by banks and financial institutions. (khr)
Comment:
Advertises for fresh bid for Mangalore Chemicals and Fertilisers
Publication Name: Economic Times
Subject: Business, international
ISSN: 0013-0389
Year: 1998
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