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• As billion-dollar bids and counter-bids stack up for LSE-listed Cove Energy, Venugopal Dhoot, chairman of Videocon Industries, a consumer electronics maker, is keeping a close watch on the frenetic action that is unfolding from his perch at Fort House in Mumbai.
• He is an interested party as his flagship firm, Videocon Industries, owns more stake in the blockbuster oil and gas block than what Cove Energy owns in the Rovuma basin, a prized asset off the coast of Mozambique. Cove is coveted even though it owns just 8.5% of the basin while Videocon owns 10% in the same asset.
• Its Indian partner Bharat Petroleum also owns 10% of the company. Asuitor is believed to have approached Videocon with a $3-billion valuation, but Dhoot declined either to confirm or deny this when this paper asked for his official response. The suitor could well be a third bidder in the race for Cove Energy, who is yet to emerge from the shadows. Asked whether he'll consider selling his Mozambique stake if a good offer comes, he says nothing forbids him from doing so.
• Though, he also narrates a meeting four years ago with Prime Minister Manmohan Singh, who apparently told him to take care of the nation's energy interests just as his great-grandfather, freedom fighter Ramkrishna Dhoot, did during his days.
• "None of the Indian industrialists who have made the bulgebracket investments abroad will make the returns we will make," says Dhoot. But the markets remain wary as they are unconvinced about Dhoot's corporate governance standards. Very few brokerages cover Videocon Industries.
• Entered oil & gas with Dhirubhai's blessings
• On the company website, the last research report was filed by Prime Broking dated July 27, 2006. As a result, Videocon's market capitalisation is pegged at around Rs 6,500 crore, much less than the value the Mozambique asset may fetch.
• "I am not unnecessarily worried about it," he says, hoping that the results will convince investors. According to him, the goldmine is the Sergipe Concession, off the coast of Brazil, which is said to be a bigger gusher of oil and gas.
• Though reticent about his plans for Mozambique, Dhoot is more than willing to talk about his successful foray into the oil and gas exploration business, which is poised to become a money-spinner, in the coming years.
• He remembers the day vividly - April 26, 1993, when he approached the late Dhirubhai Ambani, then chairman of Reliance Industries, for his blessings. "I'll never forget that day I went to his office in Maker IV, to seek his blessings for a new venture."
• Dhoot informed Ambani that he wanted to take a shot at the oil and gas exploration business, with India having just opened its door for private business participation in these areas, which until then was the monopoly of state-run corporations such as ONGC and Oil India.
• Dhirubhai gave his blessings, says Dhoot in an interview. "He told me to go ahead, but warned me that it's a risky business that requires a humungous amount of funds."

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