In a notice to the Bombay Stock Exchange on Thursday, Dabur India has informed that it will offload the stake to the foreign company subject to clearance from the Foreign Investment Promotion Board.

The company had been reportedly contemplating offloading its stake in the venture for sometime now. The suggestion to divest its stake was part of the recommendations made by management consultants McKinsey which was hired last year to devise strategic, organisational and functional guidelines for the company.

McKinsey had listed food, health care and personal care as the three core areas of business for the company's new identity as a fast-moving consumer-goods major.

Dabur India posted a turnover of Rs 397.13 crore in the first half of 1997-98, an increase of 22 per cent over Rs326.56 crore posted in the corresponding period last year. The company's net profit during this period increased by 18 per cent to Rs 23.76 crore from Rs 20.06 crore.

The company recently floated a wholly-owned subsidiary Dabur Foods to look after a strategic partner for its branded-pharmaceuticals division. The subsidiary will look after food products like Real fruit juice, Hommade cooking pastes, Lemoneez lemon juice and Capsico chilli sauce.

The company had also moved a resolution at its recent AGM regarding forming/selling a joint venture and form a subsidiary for businesses like oncology, natural gums, pharmaceuticals, foods and ayurveda. The company has set a turnover target of Rs 2,000 crore by 2003.