SPIC-SMO sold for Rs 50 crore

Our Bureau Updated - August 16, 2011 at 10:19 PM.

SPIC has sold its engineering division, SPIC-SMO, to a Kolkata-based company, it is learnt. Sources put the consideration at Rs 50 crore.

This is pursuant to a restructure package approved by lenders (banks) under the ‘corporate debt restructure' mechanism. The package binds SPIC to divest its non-core activities, and remit the proceeds to the lenders' accounts.

Earlier, SPIC had sold its stake in joint ventures, Technip India, and in Indo-Jordan Chemicals, a company based in Jordan.

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SPIC also off sold several properties, including godowns and guest houses, to raise funds to pay off the lenders.

The company is seeking shareholders' approval via a postal ballot to sell SPIC-SMO.

Published on August 16, 2011 16:49