Multi-state co-operative Krishak Bharati Co-operative Limited (Kribhco) has said there was no over-valuation of the Oswal fertilizer plant at Shahjanpur in Uttar Pradesh which it purchased for Rs 1,900 crore in 2005 through a joint venture.
Reacting to a news item, the Krishak Bharati Co-operative Limited, said the valuation was done by Edelweiss as well as Projects and Development India Limited, a wholly owned Central government PSU. “There is hardly any difference in the valuation report of Edelweiss and PDIL. Based on the findings of the two reports the Department of Fertilisers concluded that there is no case of omission or commission,” the leading fertilizer-producing co-operative said in a statement.
Edelweiss, whose net worth is over Rs 28 bn, is managed by over 2,900 professionals across 297 offices and branches spread across 144 cities of India, the statement added.
The plant at Shahjahanpur was not an ailing one as it produced 8.72 lakh metric tonne of urea in 2006-07 and 10.19 lakh mt in 2011-12 , and capacity utilization was over 117 per cent.
Kribhco, which is governed by its bye-laws and the provisions of Multi State Cooperative Societies Act 2002, is competent to take investment decisions and no approval by the government is required, the statement added. It is the second largest in our country in the field of urea manufacturing; its sales to the farming community and is solely concerned for the benefits of its shareholders and the farmers.