Earlier, India’s Reliance Industries (RIL) had agreed with Saudi Aramco to sell a 20 percent stake in the company.
In a statement, RIL said that its agreement with Saudi Aramco was still on track and both parties are committed and actively involved keen to see through the proceedings as both organizations are carrying out a customary review on the deal.
Reliance Industries has informed that it will create a separate oil-to-chemicals (O2C) business unit to facilitate the sale of a 20 percent stake in the unit to Saudi Aramco. The statement added that the RIL board has accepted the offer and it is awaiting approval by the National Company Law Tribunal.
“The board at its meeting held today has approved a scheme of arrangement for transfer of O2C undertaking of the company to Reliance O2C Limited as a going concern on slump sale basis for a lump sum consideration equal to the income tax net worth of the O2C undertaking as on the appointed date of the scheme,” RIL said in a filing to the Bombay Stock Exchange.
“O2C division of the company comprises of entire oil-to-chemicals business consisting of refining, petrochemicals, fuel retail and aviation fuel (majority interest only) and bulk wholesale marketing businesses together with its assets and liabilities,” RIL added.