Mr Jamshyd Godrej, Chairman of Godrej & Boyce, today said that resolving the ownership issues should hold the key to Haldia Petrochemicals Ltd (HPL)'s turnaround. Mr Godrej is an independent director on the board of the loss-making joint sector company.
Asked about the way ahead for HPL, reeling under a financial crisis, Mr Godrej said: “I think the problem has been the quarrel between the promoters. HPL has to get over that. The local administration has to cooperate with the management in maintaining the law and order situation in the region.” He was talking to media persons on the sidelines of IIM Calcutta golden jubilee celebrations in the city on Tuesday.
“The company can perform and go ahead only if the promoters find a solution to the ongoing dispute over the majority shareholding of the company,” Mr Godrej said .
The major stakeholders of HPL — TCG and the West Bengal government — are trying to resolve the dispute over the ownership issues. The Supreme Court had recently dismissed the TCG petition against the decision of the Calcutta High Court.
According to Mr Godrej, the company was giving priority to its petrochemical equipment supply business by introducing more equipment and by spreading its markets outside India.