Government may sell off 74 per cent in Paradeep
Phosphates
New Delhi: Loss making Paradeep Phosphates, Asia's
largest producer of di-ammonium phosphate, may see itself move out of the realms of the
public sector and into private hands. The government is contemplating selling off 74 per
cent of its equity in the company to a strategic investor alongwith transfer of
management. The Government plans to make PPL an
attractive acquisition for potential buyers by cleaning up the company's balance sheet
before inviting the offer for strategic sale. Accordingly, the Ministry of Chemicals and
Fertilisers and the Finance Ministry are working out a capital restructuring plan for PPL
involving writing off accumulated losses, converting outstanding Government loans into
equity and waiver of accumulated interest dues. The company was a profit-making PSU till
1995-96. But in 1996-97, it incurred a net loss of Rs. 60.63 crores, which rose to Rs.
105.53 crores in 1997-98, before declining to Rs. 57.95 crores in 1998-99. The losses are
projected to have fallen further to Rs. 28.60 crores last fiscal.
The government is hopeful of cashing in on the fact that
the company is amongst Asia's largest DAP producers.
Back to News Review
index page
Port workers may launch
indefinite strike
Kochi: Five major federations of port and dock workers who have submitted a charter of
demands have threatened to go on an indefinite strike from April 12, if the ministry of
surface transport fails to reach an understanding with them.
Their earlier threat to go on strike was withdrawn on
the assurance from the ministry that the issues would be resolved by March 31, but with no
resolution in sight, the federations are on the warpath.
Back to News Review index
page
|
