Haldia Petrochemicals seeks Rs 100 crore loan from West Bengal govt

KOLKATA: Ailing Haldia Petrochemicals ( HPL) today said it has sought a loan of Rs 100 crore from the state government.

"We have asked for Rs 100 crore loan from the state government. The group of ministers has approved it. Once Finance Minister Amit Mitra joins office, we will take it forward," HPL Chairman and Industry Minister Partha Chatterjee said after meeting Japanese Ambassador Takeshi Yagi.

The West Bengal Industry Development Corporation, the state-owned nodal agency, is co-promoter of the ailing petrochemical major.

The state government loan would be offered to WBIDC which in turn would pump it in HPL.

Chatterjee did not offer clarity on whether the infusion would be as working capital loan or as equity.

The company is suffering from huge working capital shortage and had defaulted in repayment of loans. Lenders are also seeking equity infusion from promoters before removal of the freeze on extending further loan to the ailing petrochemical company.

Also, both the major promoters WBIDC and TCG Group are embroiled in a legal battle for control of the company.

Chatterjee said Delloite, hired as transaction adviser, has not submitted any report so far on disinvestment by the state government.