"Local" policy likely to hit business school project

The promoters include Hindustan Lever, Godrej, Reliance, Tatas, HDFC, George Soros, the Chatterjee group, the Birlas, the Bajajs, the Mahindras, RPG, and McKinsey. The project involves investment of Rs 300 crore and would be Wharton and Kellogg’s first B-school outside the US.

“Mumbai is more or less out of our list. We are set to select a new site based on the needs of our international faculty,” said an industrialist linked with the project. Allthe Indian promoters are based in Mumbai and have their corporate headquarters here.

A team of Indian industrialists, which recently went to Hyderabad, Bangalore and Chennai, is reported to be impressed by the offers made by Andhra Pradesh, Karnataka and Tamil Nadu.

The Chief Ministers of the three states, Chandrababu Naidu, J H Patel and K Karunanidhi respectively, reportedly offered sites for the school at highly discounted rates. “They’re bending backwards to bag the project. Hyderabad has emerged as the most likely place for the project, though a final decision hasn’t been taken yet,” the industrialist pointed out.

Andhra Pradesh has offered to give the necessary infrastructure, including ready-made buildings, near Hyderabad for the school, and Naidu’s personal interest could swing the project in favour of Hyderabad, he added.

While Maharashtra has asked for Rs 24 crore for its land in Kharghar Hill, Navi Mumbai, Tamil Nadu has offered land free, and Karnataka is willing to give it at discountedrates.

Bangalore already boasts a B-school, the Indian Institute of Management (IIM).