Home / Knowledge / News / Textiles / NRI's TCG picks up majority stake in MCC's Haldia plant
NRI's TCG picks up majority stake in MCC's Haldia plant
30
Jul '16
The Chatterjee Group (TCG) owned by NRI entrepreneur Purnendu Chatterjee has picked up a majority stake in Japanese major Mitsubishi Chemical Corporation's (MCC) Indian unit in West Bengal for around Rs 322 crore ($48 million).

TCG will buy 5.8 billion shares (90 per cent stake) of MCC PTA India Corporation (MCPI) with Mitsubishi retaining 600 million shares in the Haldia-based unit, according to the share purchase agreement on the Tokyo-based company's website.

“The agreement includes two processes—conversion of the MCC loans to MCPI into common shares, and increase MCPI capital share with MCC as underwriter by the share transfer date, which is scheduled for the end of October this year. This will increase the percentage of the MCPI common shares held by MCC to a maximum of 99.4 per cent,” the company said in a statement.

The Japanese petrochemicals maker maintained that after completion of the above capital increase, MCC will transfer all the shares except for a shareholding ratio of 9 per cent to Chatterjee on the share transfer date.

As a result, MCPI will become a non-consolidated affiliate of MCC.

West Bengal Industrial Development Corporation (WBIDC) will also hold a small stake (at present 5 per cent).

The Indian unit of MCC currently has an installed capacity of 1.27 million tonnes with a turnover of around Rs 6,000 crore. It has a workforce of around 1,100 people.

Industry circles view it as a strategic decision by the Tokyo-based company to exit the commodity chemical business as the firm has also offloaded its PTA business in China, selling the plant to an oil refiner in Ningbo.

However, it has decided to retain the Thailand facility that supplies to group firms and another unit in South Korea.

Founded in 1989 by Chatterjee, TCG is a US-based private equity firm, with investments and operations spanning several continents and industries. It prefers to invest in petrochemicals, pharmaceuticals, biotech, financial services, real estate and technology sectors in the US, Europe and South Asia.

TCG, according to Mitsubishi Chemical's statement, has operating assets worth $900 million across the world. Early this year, TCG emerged as the single-largest shareholder in Haldia Petrochemicals Ltd by paying Rs 653 crore and buying out 26 crore shares from WBIDC. (SH)

Fibre2Fashion News Desk – India


Must ReadView All

India’s e-commerce policy framework in 6 months: official

Apparel/Garments | On 26th Apr 2018

India’s e-commerce policy framework in 6 months: official

In the next six months, India will come out with a framework for a...

MSME secretary Arun Kumar Panda presenting 'friend of India' plaque to a delegate from Malawi at the first International SME Convention. Courtesy: PIB

Apparel/Garments | On 26th Apr 2018

India to set up Digital Trade Desk for SME collaboration

India’s ministry of micro, small and medium enterprises (MSMEs) has...

Courtesy: Kai Pilger from Pexels

Apparel/Garments | On 26th Apr 2018

FOBAP in the Philippines trying for garments sector revival

The Foreign Buyers Association of the Philippines (FOBAP), a body...

Interviews View All

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Tejas N Patel, Navin D Patel

Founded in 1999 by Navin Patel in the name of Tejas Fabrics with 100...

Akshat Chaudhary

Aizome, Asia's first Fairtrade denim brand, is all set to launch next...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


April 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search