Andrew Yule Gets Nod For Restructuring Webfil

It is believed that Andrew Yule has already approached a consultancy major to select joint venture partners for the two new subsidiary companies.

Andrew Yule owns 25 per cent equity in Webfil, while 26 per cent is with the West Bengal Industrial Development Corporation. The rest is shared between the financial institutions and the public.

Webfil will spin off Cathodes & Filaments and Webfil Telecom into separate companies which would take over the assets of the filament and digital divisions.

The Industrial Finance Corporation of India and the Bank of Baroda, lead institution and bank respectively, have already given its assent to the moves.

 

Sources said the decision comes in the wake of the accumulated losses incurred by Webfil over and past few years and a possible turnaround which would help its revival.

The hiving off the company into two units has been recently approved by the Registrar of Companies. The company has sought sanction from the Company Law Board and the Comptroller and Auditor General (CAG) to extend the company's accounting year to 18 months from the present 12-month period. At an EGM of Webfil held recently, mandatory special resolutions to the effect were passed. The resolution stated that Webfil intended to