Sick, loss-making Hindustan Antibiotics up for sale: Minister
The confirmation to this effect was made by the Minister of Chemical and Fertilizers in the recently concluded parliament session when he was questioned if the Government has decided to sell off the Hindustan Antibiotics Limited (HAL).
Based in Pimpri, India, Hindustan Antibiotics is the first public sector drug manufacturing companies set up by the Government of India. It was the first company in India to launch a recombinant DNA product, rHU-Erythropoietin (Hemax) in 1993. The company introduced new products like Halpen, Haltax, Hexpan in 2008. Sati-HIV drugs will be produced from September 2009.
However, over a period of time, the firm faced tough days and subsequently slipped down. Earlier this year, the Union Cabinet had approved loans of Rs 330.35 crore to three state-owned pharma companies including Hindustan Antibiotics Ltd (HAL) to help them clear employees’ liabilities and announced setting up of a ministerial panel to decide on the closure or sale of four PSUs.
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The concern was recently raised in the house, in reply to this, the Minister stated that Hindustan Antibiotics Limited (HAL) is a sick and loss-making company. Based on recommendations of a Committee of Ministers, the Union Cabinet in its meeting held on 28.12.2016 has decided for strategic sale of the company after meeting its liabilities from the proceeds of the sale of its surplus land to Government agencies.
"As no response was received from the government agencies for sale of surplus land, the Department approached the Cabinet again, which has decided, amongst others, on 17.07.2019 for sale of the surplus land of the company as per Department of Public Enterprises’ (DPE) revised guidelines dated 14.06.2018," the minister said.
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