Morgan Stanley to evaluate IBP for Shell
By Our Corporate Bureau | 21 Nov 2001
Mumbai: Dutch multinational Shell has hired J M Morgan Stanley, a leading investment banker, to do the valuation of IBP.
According to Morgan Stanley vice-chairman Naina Lal Kidwai, the main strength of IBP is its marketing network. "As the guidelines under the new administered price mechanism have already been issued, it would now become easier for us to correctly evaluate IBP."
Shell, along with several foreign and domestic oil companies including IndianOil Corporation, had expressed serious interest in picking up a 33-per cent stake in the oil marketing PSU. Kidwai, however, declined to give the broad range within which the value of IBPs share would emerge.
Besides IBP, Morgan Stanley is also engaged in the PSU divestment process from the buyers side. Once the Centre invites financial bids for IBP, Shell will respond to them, he said.
Earlier, Union Minister for Disinvestment Arun Shourie had said IBPs financial bids would be invited soon. He, however, declined to mention the exact period.
