Hinduja looking at majority stake in ONGC’s Kakinada project

Hinduja looking at majority stake in ONGC’s Kakinada project


Chennai: The Hinduja Group is looking at taking majority stake in ONGC’s proposed Kakinada refinery project, Gopichand P Hinduja, president of the company said.

“Wherever we go, we do not have anything other than majority stake... we would like to have majority stake," he said. “Our group company, Gulf Oil would pick up stake in the project."

The president also informed that the Centre had cleared the company’s power project at Vishakapatnam which would be based on a Merchant Power Plant.

“So, we would be selling 25% of the power to the state, while we are free to sell the remaining 75% to whoever pays us the best price," Hinduja said.

“It would be around 1,040 to 1,200 MW. Experts are working on what would be the most economical one. The project cost is Rs500 crore and would be completed in about 32 months," he said.

Gopichand said the group would be divesting 49% stake in Hinduja National Power “when the time is right".

The Group is also in talks with a foreign insurance service provider for partnering in launching both life and non life insurance products in the country. However, he refused to divulge further details.

Also on the cards was a Global Depository Receipt issue in November which would dilute 10 per cent of the promoter’s stake in IndusInd.