KPC to buy 26 percent of Indian refinery and petrochemical company
By the end of November, the Kuwait Petroleum Company (KPC) will own 26 percent of the Mangalore Refinery and Petrochemicals (MPRL), reported the Times of India.
According to a senior MPRL official “all the formalities” have been completed for the sale to take place. KPC will be the third strategic party needed to efficiently market MPRL’s petroleum products.
More importantly, MPRL will be able to hedge its petroleum products at both the international and domestic markets. MPRL is currently in the process of gaining RBI clearance and marketing rights in India.
MPRL is a joint venture between Aditya Birla Group and Hindustan Petroleum Corporation (HPCL). With the introduction of KPC as the third strategic partner the equity pattern is expected to be 26 percent each for KPC, Aditya Birla Group, and HPCL, while the rest will be divided up between various financial institutions. Prior to the agreement, HPCl and Aditya Birla Group each held 37 percent. –(Albawaba-MEBG)