ONGC Mangalore Petrochemicals Ltd is a subsidiary of Mangalore Refinery and Petrochemicals Ltd (MRPL), has now become a wholly-owned subsidiary of MRPL. This follows the acquisition of the remaining 0.00027776 per cent share in OMPL by MRPL from ONGC.

MRPL informed the stock exchanges on Thursday that the board meeting of MRPL, on October 19, had approved the acquisition of 124,66,53,746 equity shares of Rs 10 each of OMPL from ONGC.

Accordingly, a share purchase agreement (SPA) was executed with ONGC for the acquisition. An amount of Rs 1216,73,40,561 was paid towards consideration for the acquisition of 124,66,53,746 equity shares at a price of Rs 9.76 per share.

According to the SPA, ONGC transferred 124,66,53,746 shares of OMPL to MRPL’s Demat account on January 1. With this, the shareholding of MRPL in OMPL increased to 99.9998 per cent.

MRPL’s statement to the stock exchanges said on Thursday that on acquisition of balance 0.0002 per cent equity holding of OMPL, it has now become a wholly owned subsidiary of MRPL.

MRPL said that such an integration yields additional synergy benefits for the group. Incorporated on December 19 2006, OMPL is located adjacent to MRPL in Mangalore SEZ, spread around 441 acres of land.

A majority of the feed stocks (naphtha and aromatics streams) generated by the refinery complex of MRPL is being processed to produce paraxylene and benzene in OMPL. Paraxylene and benzene are exported through a dedicated 14-km-long pipeline corridor through the jetty of New Mangalore Port Trust (NMPT).

OMPL complex is the largest single stream unit in Asia to produce 914 KTPA paraxylene and 283 KTPA benzene, it said. The turnover of OMPL stood at Rs 3,388.79 crore in 2020-21 as against Rs 4,954.17 crore in 2019-20.

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