KOLKATA: Chairman of Tata Sons Limited Ratan Tata on Tuesday came out in support of the West Bengal government for offering shares of Haldia Petrochemicals Limited (HPL) to state-owned Indian Oil Corporation (IOC).

Speaking to reporters here on Tuesday, Tata, who had stepped down from the HPL board recently, said, "It was the best thing that has happened to Haldia Petrochemicals."

"I fully support the move and hope that it would be vindicated over time," Tata said.

He said that IOC would make HPL a strong company, adding "the strength of the oil PSU would contribute to the strength of HPL. I think it is a very positive move."

Earlier, the Tata group, through Tata motors and Tata power held nearly 14 per cent stake in HPL. The stake had been divested to a large extent with the Tatas currently holding a nominal three per cent shareholding in the company.

Asked whether IOC should get management control in HPL, Tata said, "I do not want to comment on this. The company had done a great deal to come out of the problems."

HPL's principal promoter TCG moved the company law board seeking stay on allotment of 7.5 per cent shares of the petrochemicals firm to IOC by the state government. In an interim order, the CLB refused stay on the allotment of the shares to IOC.