BPCL to exit Bharat Shell through 49pc stake sale to Shell
New
Delhi,
Nov
30:
The
Union
Cabinet
today
gave
its
approval
to
Bharat
Petroleum
Corporation
Ltd
(BPCL)
to
sell
49
per
cent
of
its
equity
stake
in
Bharat
Shell
Ltd
(BSL)
BSL
to
Shell
or
its
affiliate
for
Rs
152.40
crore.
The proposed sale will enable the state-run BPCL to withdraw from a joint venture which has a competing business interest -- production and sale of branded lubricants in India, said a statement.
This will enable BPCL to concentrate on building and promotion of its own brand of lubricants resulting in improved brand image, higher growth, efficiency and profits.
The joint venture had an authorised capital of Rs 250 crore and a paid up capital of Rs 200 crore. Bharat Shell also marketed LPG to both domestic and industrial consumers.
UNI