The board of privatisation-bound Bharat Petroleum Corporation (BPCL) has approved the merger of its gas subsidiary, Bharat Gas Resources (BGRL) with itself in a bid to streamline corporate structure.
BGRL is a 100 percent subsidiary of BPCL and its main business is gas sourcing and retailing. The merger will streamline the corporate structure and consolidate the assets and liabilities of BGRL within BPCL.
Also, it will help in availing easier financial support for the business of BGRL and more efficient utilisation of capital for enhanced development and growth of the consolidated business in one entity.
It will also improve management oversight and bring in operational efficiencies, cost savings and reduction of administrative responsibilities.