According to sources, ORG-MARG chairman Titoo Ahluwalia addressed key employees numbering 20-25 last week and gave a verbal assurance that VNU is there to stay as the controlling shareholder. This is expected to benefit ORG-MARG in terms of technology and knowhow.

Sources said that while it is not known what stake VNU will hold in ORG-MARG, it is clear that VNU will be the majority stake holder. Under the current shareholding pattern, the Advanis of Business India Group hold a 50.2 per cent stake in the firm and VNU holds 35 per cent. The balance is held by Titoo Ahluwalia and the employees.

Earlier, some senior employees of ORG-MARG had threatened to quit the organisation in the event that VNU does not remain the strategic partner in the firm. Sources said that the management's views have been taken on board by the two shareholders. The employees of ORG-MARG believe that a strategic investor is important for the growth of the market research firm.

As per the agreement between the two shareholders, even as VNU was to take a majority control in ORG-MARG by buying out the Advanis' stake, the Advani brothers also had the option to buy out VNU's stake.

The deadline for the Advanis to make a move to buy out the VNU stake in the firm expired on April 29, 2000, sources said. The two shareholders - Advanis and VNU - have held a series of meetings in the last couple of days to arrive at an understanding that an amicable settlement will be reached by May 10, 2000.

It is, however, clarified that while the two shareholders have taken on board the management's views, the board of directors has not yet met on the issue. The management's view is that a strategic investor which will bring in the required technology and knowhow is critical to ORG-MARG.

As per the earlier plan, the Advanis were to shed their entire stake to the $3.8 billion VNU for a consideration of about $22 million. The move was to improve the liquidity situation for ORG-MARG, thus assisting it to undertake certain expansion plans.