Incab Still A Viable Bid For Alpha: SBI Report

Jamshedpur, April 24: | Updated: Apr 25 2002, 05:30am hrs
The State Bank of India (SBI), as the operating agency for BIFR, submitted its final report on April 12 for the revival of Incab Industries Ltd after thoroughly analysing the Rs 61-crore bid put in by Alpha Institute of Systems Management (AISM). A report on the techno-economic viability of the company, submitted by the chartered accountants’ firm AF Ferguson, also forms part of the report.

Ferguson, who also vetted the AISM revival package, is said to have indicated in its report that Incab is ‘still a viable’ proposition. Sources said, the BIFR has now circulated copies of the SBI report along with copies of the AISM revival package to Incab’s financial institutions (FIs) and bankers for their approval. While ICICI, LIC, UTI and GIC are the principal FIs involved, the UTI Bank, Punjab National Bank, SBI and Allahabad Bank are prominent among Incab bankers.

SBI had in November 2001 informed the BIFR that it had received five bids for revival of Incab Industries. While rejecting three of the bids prima facie, only two bids, one submitted by SP Arya and the other by AISM were considered by it.

Subsequently, in March 2002, the operating agency had informed the BIFR that as the SP Arya bid was incomplete and also he had not responded to the queries put forth by SBI, it was left only with the AISM bid, which it was studying. Sources said the Jamshedpur-based AISM was a six-member group of professionals keenly interested in reviving Incab Industries and protect its 2,700-strong employees who have been in dire straits, having been without salary for almost two years now. AISM has also been in touch with the last promoter, the Malaysia-based Leader Universal, Berhad, who hold a majority 51.16 per cent stake in Incab Industries.