ITC Ltd and Agro Tech Foods Ltd (ATFL) have agreed by mutual consent to settle the arbitration proceedings in London concerning the Mantralayam facility, according to a notice issued by ITC.
In terms of the settlement agreement and consent order to be issued by the appointed arbitrator, ITC would take back the Mantralayam facility, which was earlier used by ITC Agro Tech Ltd.
It had been licensed to ATFL since September 1996. Following the return of the unit to ITC, ATFL would over a five year period from August 2002 to June 2007 make annual payments to ITC amounting to a total of Rs 43 crore. AFTL is better known by its parent Conagra of the US.
The unit would fit in with ITC
