New Delhi, May 10: Reliance Industries is likely to embark on India’s largest ever investment in Pakistan. It is believed to be in advanced negotiations to acquire the petrochemicals business of ICI Pakistan for close to $300 million, Press Trust of India and Economic Times of India reported on Monday.

The report said Reliance officials declined to comment on the deal but did not deny it. It said that Reliance, market leaders in polyester business in India, were keen to acquire the petrochemicals business of ICI Pakistan Ltd, which also manufactured soda ash, paints, chemicals and life science products.

According to available information, the Pakistan arm of ICI was a profit-making entity having netted $47.8 million during 2004, PTI said. It said Reliance had acquired ICI polyester fibre business in the early 1990s. The UK-based multinational was instrumental in producing polyester fibre for the first time in India by setting up a plant at Thane in Maharashtra.

In Pakistan, ICI is among the largest quoted company at Karachi, Lahore and Islamabad stock exchanges with a paid-up share capital of $23.38 million. With a turnover of over $357 million, the company had reported capital reserves of $7.83 million during 2004, according to company’s annual report.

It was not immediately clear if political clearances have been sanctioned by the Indian and Pakistani governments for what seems to be an unusual business move between the two.