Videocon group may offload 26% stake in Samsung India

New Delhi, June 11: Videocon International chairman VN Dhoot said on Monday he was “interested” in offloading the 26 per cent stake held by a group company in electronics major Samsung India Electronics Ltd (SIEL) but only at the ‘right’ price.

When contacted, Mr Dhoot said over phone from Mumbai: “We are interested in selling our stake in Samsung but only at the right price. The time for selling will depend on market conditions and the price being offered.” And while he declined to comment what this right price could be, industry sources said Dhoots value their stake in Samsung at Rs 500 crore.

Videocon’s investment arm Reasonable Computer Solutions Pvt Ltd holds 26 per cent stake in SIEL, while the remaining 74 per cent rests with the Korean parent Samsung Electonics Co Ltd (SECL).

Meanwhile, a Samsung India spokesperson in Delhi denied there was any move to acquire the stake held by Videocon. “We would like to categorically state that SECL has no plans of increasing its equity stake in SIEL and thus, is not carrying out any negotiations with its joint venture partner Reasonable Computer Solutions Pvt Ltd regarding the same,” she said.

Mr Dhoot said as per the agreement, Videocon holds the right to appoint SIEL’s chairman and at present, its nominee Kuldeep Draboo, who also looks after Videocon Power, is the chairman of Samsung India.

Mr Dhoot said his company had been making CTVs and refrigerators for Samsung till the latter set up their own manufacturing facility in Noida. Samsung’s Indian operations include consumer electronics and homes appliances company SIEL, a R&D centre in Bangalore, software development arm Samsung India Software Operations unit.

-- PTI