Petrocon merger with Videocon gets nod

Shareholders and creditors of Videocon Industries Ltd and Petrocon India Ltd (PIL), part of the Videocon Group, have separately passed the resolutions for merger of PIL with Videocon Industries.

In a release the company has stated, "In a separately convened meeting, the creditors of both Videocon Industries and PIL have accorded approval for the merger of both the companies unanimously. The Bombay High Court has fixed May 6, 2005 for further order in this regard."

The effect of this merger would be that all sales and profits from 25 per cent participating interest in Ravva oilfield will now be vest in Videocon Industries with effect from the appointed day March 31, 2004.

Ravva is one of the cheapest oil producing field in the world with operating cost being less than $1 per barrel, according to the release.