GE Shipping calls off offshore demerger plan
It would examine new possibilities for restructuring the business, the company said in a statement.india Updated: Aug 03, 2006 14:24 IST
Great Eastern Shipping Company Ltd will not proceed with the demerger of its offshore business since the time limit of six months for working the modalities has already lapsed.
"The Board, after due deliberations, unanimously concluded that it was not possible to proceed with the Scheme of Demerger of the offshore services business into a separate company, Great Offshore Ltd, as all the conditions for arriving at the effective date of the scheme within the stipulated timeframe of six months... Had automatically lapsed," the company said in a statement.
The Board of Directors would now examine fresh possibilities in due course for restructuring its business to maximise value accretion to the shareholders "and if necessary approach them."
"On behalf of the Board of Directors, I would like to put on record the immense support and concurrence received from all the contracting counter parties both in the government as well as in the private sector, especially ONGC, which has been of immense value to us and highly supportive to the business restructuring," the statement quoted company Executive Chairman KM Sheth as saying.