ADB sells entire 5.2 % stake in Petronet LNG for Rs.714.50 cr The Asian Development Bank (ADB), on Friday, sold its entire 5.2 per cent stake in Petronet LNG Ltd. (PLL) for Rs.714.5 crore via block deals. The ADB sold 3.9 crore shares of India’s largest liquefied natural gas importer to CitiGroup and HDFC Mutual Fund at Rs.183.20 per share, according to BSE data. Citigroup Global Markets Mauritius Pvt. Ltd. bought 88 lakh shares, HDFC Top 200 Fund took 37.70 lakh shares and HDFC Equity Fund purchased 46.70 lakh shares, the data showed. The stake sale comes after a long dispute between Petronet’s principal promoters and the firm’s management led by its Chairman, who is the Oil Secretary. Petronet’s promoters — IOC, ONGC, GAIL and BPCL — were originally interested in buying ADB’s 5.2 per cent stake but the company management was opposed to it as it would have led to PSU holding crossing 50 per cent that would turn the LNG importer into a government entity. Petronet is registered as a private company even though public sector oil firms hold 50 per cent stake and the Oil Secretary is its Chairman. However, the Oil Ministry has refused permission to public sector oil companies for acquiring ADB stake to keep Petronet a private firm. The ADB on August 23, 2011, offered to sell its 5.2 per cent stake in Petronet, in which GAIL, Indian Oil Corporation, Bharat Petroleum Corporation Ltd. and Oil and Natural Gas Corporation hold 12.5 per cent stake each and have a first right of refusal.
Posted on: Sat, 27 Sep 2014 04:41:24 +0000
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