NEW DELHI, December 23: The Union cabinet has allowed the public sector National Aluminium Company Limited (Nalco) to invest in 26 per cent of the equity in an export-oriented unit (EoU) promoted by Mukand Ltd called International Aluminium Products Limited (IAPL).

The other stake-holders in the downstream aluminium products company are Global Emerging Markets, with equity holdings of 37.3 per cent and IAPL's Italian equipment supplier FATA. The Italian company's stake in IAPL is 2.7 per cent, while promoter Mukand Limited has restricted its own equity holding to 5.3 per cent.

According to official sources the remaining 54.7 per cent of IAPL's equity would be privately placed with Nalco (which has offered to pick up 26 per cent equity,) IPICOL and other long-term investors. IPICOL is expected to invest Rs 3.5 crore in three per cent of IAPL's equity.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.