Dhunseri Petrochem commissions first petrochemical plant in Egypt, proposes to de-merge

31-Jan-14

Dhunseri Petrochem and Tea has commissioned its first petrochemical plant in Egypt. The US$170 mln project, got little delayed because of the ongoing political turmoil in the North African nation, has seen a cost escalation of around 4%. Dhunseri also plans to de merge its businesses. The restructuring exercise was to apportion business focus and priorities among various segments Business Line. The tea business would be transferred to an entity at a consideration of one share for five shares held in Dhunseri Petrochem, while the new infrastructure subsidiary will issue 50 lakh shares of Rs 10 each to the parent company. The names of the entities, including Dhunseri, would also change to reflect respective businesses. The petrochemicals vertical has production units in Haldia, West Bengal, and in Egypt for PET resin.