Andrew Yule to ask for suspension of Tide Water divestment plan

India’s state-owned Andrew Yule & Co. Ltd.’s board has decided to approach the government to seek suspension of its divestment plan for Tide Water Oil Co. (India) Ltd., Chairman Kallol Datta said. The government plans to sell the 42% stake in Tide Water held by Andrew Yule and a group of financial institutions. “The board is now of the view that disinvestment is not necessary at this point of time and this decision would soon be communicated to the government,” Datta said. Last February, Andrew Yule completely paid off its 736 million rupee (US$16.15 million) loan from the government out of the proceeds from the disinvestment of its stakes in Phoenix Yule Ltd. and DPSC Ltd. “With that liability paid off, we won’t be having any productive avenue now to park the disinvestment proceeds,” Datta said. (March 17, 2010)