Haldia stake sale: West Bengal assures bidders to conclude auction by Dec

After 1st stage, RIL, Cairn India, IOC, GAIL, ONGC are racing to grab 39% stake

 

With the West Bengal government set to call price bids for its stake sale in Haldia Petrochemicals Ltd (HPL) on August 31, the state has assured the shortlisted bidders to conclude the bidding process by December even when legal issues are causing trouble for the plans.

 

After the first stage, Reliance Industries Ltd (RIL), Cairn India, Indian Oil Corporation, Gas Authority of India Ltd and Oil and Natural Gas Corporation are in the race for grabbing 39 per cent stake in the dispute-hit company. “Though legal issues are there, the state government has assured these companies to wind-up the process by December. They have already completed the due diligeence process,” said a senior official close to the development.

 

Though the Supreme Court did not grant a stay on the stakee sale process, the case by The Chatterjee Group looking for a stay on the Calcutta High Court order blocking it from approaching the International Court of Arbitration will be heard by the Apex Court in September.

 

“The major concerns that the bidders raised during the different round of meetings was related to the legal issues and also the timeline for concluding the bidding process. Following which, the state government has now given a timeline and is also expecting the legal issues not to create anyroadblocks,” the official added.

 

Though it ONGC and IOC submitted the expression of interest separately, it later knocked at the West Bengal Industrial Development Corporation doors for a green signal to go together as a consortium. According to the state government, a decision on whether they can go together or alone would be finalised with in a week’s time.