MUMBAI, January 23: Premier Automobiles Ltd (PAL) said on Friday that it was impossible to meet the January 28 deadline stipulated by the French automaker, Peugeot for finding a buyer for its stake in PAL-Peugeot Ltd."It is clear to both PAL and Peugeot that the matter is extremely complex and any restructuring cannot be accomplished in a short period of time," PAL said in a statement.
PAL said notwithstanding the difficult situation facing the joint venture, PAL management has "never been delinquent in interacting" with financial institutions (FIs) having exposure to the troubled car maker, directors, central and state government officials and other concerned parties.
A PAL spokesman said PAL has been in dialogue with ICICI following Peugeot's "unexpected and unilateral" decision to withdraw from India.
Paris-based Automobile Peugeot has not responded to ICICI's call for a joint meeting with the Doshis of PAL as the French partner has "given the mandate" to the Indian partner for settling the issue,the spokesman said.
PAL is talking to "a lot of people (foreign as well as Indian)" for PAL-Peugeot's restructuring and an announcement would be made once a deal crystalises, he said. PAL and Peugeot each have 32 per cent stake in PAL-Peugeot and the rest is with the public.
PAL said "whatever solution or position is taken with regard to the joint venture.will be one necessarily involving PAL and FIs."
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
