GAIL seeks two berths on Haldia Petro board

Public sector gas firm GAIL (India) Ltd has sought two berths on the board of Haldia Petrochemicals Ltd, Proshanto Banerjee, chairman and managing director, GAIL, said here yesterday.

GAIL has proposed to invest Rs 332 crore into the loss-making firm as part of a scheme of restructuring.

"We would like to have many controls. We will invest whatever is needed," Banerjee told mediapersons after a press conference at the Federation of Indian Chambers of Commerce and Industry (Ficci) to unveil the second Asia Gas Buyers' Summit to be held in Mumbai on February 2-3.

Banerjee did not elaborate. But Gail sources maintained that the company was willing to pick up more stake in Haldia Petrochemicals, provided the other stakeholders approved of it.

That GAIL was seeking a certain degree of control is evident from the fact that it has sought representation on the company's board in lieu of the investment. The current proposal will give GAIL a 16-18 per cent shareholding in the firm.