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Thursday, July 9, 1998

BHP says Orbital Engine asset non-core 

REUTERS  
Melbourne, July 8: The BHP Co Ltd said on Wednesday that it regarded its investment in engine designer Orbital Engine Co as non-core but had no immediate plans to sell its 25 per cent stake.

`Obviously Orbital falls into the category of being non-core with respect to a resources company so we are clearly looking at that investment,'' BHP services group division chief Kirby Adams said at a news briefing. Adams said BHP was proceeding with the objective of supporting Orbital Engine and would not take any action that would damage the company. ``With respect to our investment in Orbital, yes, at some particular time we would seek a natural owner if that natural owner came forward,'' he said. Orbital, founded by Perth-based inventor Ralph Sarich in the early 1970s, has a market value of A$378.74 million based on Tuesday's price of A$1.17 per share.

The company has 323.71 million shares on issue.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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