RIL says Saudi Aramco deal on course despite covid-19 challenges1 min read . Updated: 30 Apr 2020, 08:11 PM IST
Chairman Mukesh Ambani had last August announced Reliance Industries' plan to sell 20% stake in its refining and petrochemicals business for $15 billion to Saudi Aramco
MUMBAI : Reliance Industries today said that in spite of the covid-19 crisis and the lockdowns, the due-diligence by Saudi Aramco for the planned investment in the oil to chemicals (O2C) business is on track as both the parties are committed and actively engaged.
"The company has approved a scheme of arrangement for transfer of oil to chemicals (O2C) Undertaking (as defined in the Scheme) 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.
Chairman Mukesh Ambani had last August announced Reliance Industries' plan to sell 20% stake in its refining and petrochemicals business for $15 billion to Saudi Aramco, as part of his plan to deleverage RIL's balance sheet .
Since August 2019, crude has dropped 64.52%. From $58.23 per barrel on 15 August, 2019, it is now hovering around $20.66.
O2C undertaking of the Company comprises of entire oil-to-chemicals business of the Company consisting of refining, petrochemicals, fuel retail & aviation fuel (majority interest only) and bulk wholesale marketing businesses together with its assets and liabilities.
"The Scheme is subject to necessary statutory / regulatory approvals under applicable laws including approval of National Company Law Tribunal," said RIL.