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Acquisition for natural beauty

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Business Standard New Delhi
Under pressure from banks, the promoter of a big debt-laden group wanted to sell his power plant located at a hill station. While the operational condition of the plant was fine, the huge debt was a big put-off. One industrialist, who was impressed with the plant, walked out of the negotiations midway because his investment advisors said the debt would make the deal unviable. But the seller tried what he thought was a killer offer: he asked the prospective buyer to take a look at the "natural beauty" outside the plant. "Wouldn't you like to spend a few days in a year in a place in India that looks like Switzerland," he asked. The prospective buyer and his investment advisors were stumped as they had bargained for everything, but this. Spending a few thousand crores just to stay occasionally in a place that looked like Switzerland was something unexpected. Naturally, the deal never happened.

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First Published: Aug 14 2016 | 9:38 PM IST

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