Haldia Petrochemicals Limited, in the midst of a debt restructuring process, is exploring various options for coming out with an initial public offer.
The option of tapping the capital market was being seriously considered, an HPL official told PTI, adding that something definite would be firmed up in the next 15 days.
Asked whether the company, which was not listed on any of the stock exchanges, would be allowed to tap the market by Securities & Exchange Board of India, as accumulated losses had exceeded Rs 1,000 crore (Rs 10 billion), the official said all the rules and guidelines were being looked into after which a decision would be taken.
If HPL was able to take advantage of the current market boom, then the company's debt burden will be reduced to a large extent, he said. HPL's debt burden was in excess of Rs 4,000 crore (Rs 40 billion).
When contacted, Sebi sources said any loss-making unlisted company keen to tap the capital market, would have to fulfill the three criteria of having net tangible assets of Rs 3 crore (Rs 30 million) in the preceding three years, track record of distributable profit in the last three years and net worth of a minimum of Rs 1 crore (Rs 10 billion).
