The Reliance group is planning to buy the plastics business of a well-known company in Pakistan for about $300 million, industry sources said on Monday.
Reliance, market leader in polyster business in India, is said to be keen on acquiring the plastics business of ICI Pakistan Ltd, which also manufactures soda ash, paints, chemicals and life science products.
When contacted, Reliance officials in Mumbai declined to comment on the issue.
According to available information the Pakistan arm of ICI is a profit making entity having netted $47.8 million during 2004.
Reliance had acquired ICI polyster fibre business in early 1990s, sources said. The UK based multinational was instrumental in producing polyster fibre for the first time in India by setting up a plant at Thane in Maharashtra.
In Pakistan, ICI is among the largest quoted company at Karachi, Lahore and Islamabad stock exchanges with a paid up share capital of $23.38 million.
With a turnover of over $357 million, the company had reported capital reserves of $7.83 million during 2004, according to the company's annual report.
