JSPL to divest 96.42% stake in coal-fired power biz to reduce debt
COAL & MINING

JSPL to divest 96.42% stake in coal-fired power biz to reduce debt

Jindal Steel and Private Ltd (JSPL) will divest a 96.42% stake in Jindal Power Ltd (JPL) and has accepted a binding offer from Worldone Private Ltd, a company owned by the promoter group of JSPL.

The company said the equity value is an all-cash offer of Rs 3,015 crore for a 96.42% stake in JPL, including 3,400 MW coal-fired power plants in Chhattisgarh and other non-core assets owned by JPL. The long stop date for completion of the proposed sale is 12 months.

JSPL has two coal-fired power plants in Raigarh and Tamnar, totalling 3,400 MW. JPL had earlier tried to sell the units to JSW Energy, but the deal did not close.

The company told the media the divestment is in line with the company's strategic objective to reduce its debt and carbon emissions and focus steel production and double the output of its Angul steel plant to 12 million tonne per annum (mtpa). The divestment is subject to approvals, including from shareholders of JSPL, lenders of JPL and JSPL, and statutory sanctions.

JSPL's consolidated net debt stood at Rs 25,621 crore as of December 2020 compared with Rs 28,910 crore witnessed as of September 2020. The steel manufacturer aims to reduce its carbon footprint by almost 50%.

According to the JSPL, infrastructure spending in India is bound to grow exponentially, and the company is fully aligned with the Indian government's vision of achieving 300 mtpa steel production by 2030.

Image Source


Also Read: JSPL reveals roadmap for 2030

Also Read: Jindal Power hires former Coal India head as chairman

Jindal Steel and Private Ltd (JSPL) will divest a 96.42% stake in Jindal Power Ltd (JPL) and has accepted a binding offer from Worldone Private Ltd, a company owned by the promoter group of JSPL. The company said the equity value is an all-cash offer of Rs 3,015 crore for a 96.42% stake in JPL, including 3,400 MW coal-fired power plants in Chhattisgarh and other non-core assets owned by JPL. The long stop date for completion of the proposed sale is 12 months. JSPL has two coal-fired power plants in Raigarh and Tamnar, totalling 3,400 MW. JPL had earlier tried to sell the units to JSW Energy, but the deal did not close. The company told the media the divestment is in line with the company's strategic objective to reduce its debt and carbon emissions and focus steel production and double the output of its Angul steel plant to 12 million tonne per annum (mtpa). The divestment is subject to approvals, including from shareholders of JSPL, lenders of JPL and JSPL, and statutory sanctions. JSPL's consolidated net debt stood at Rs 25,621 crore as of December 2020 compared with Rs 28,910 crore witnessed as of September 2020. The steel manufacturer aims to reduce its carbon footprint by almost 50%. According to the JSPL, infrastructure spending in India is bound to grow exponentially, and the company is fully aligned with the Indian government's vision of achieving 300 mtpa steel production by 2030. Image Source Also Read: JSPL reveals roadmap for 2030 Also Read: Jindal Power hires former Coal India head as chairman

Next Story
Resources

Ajmera Realty launches tree drive on Environment Day

Ajmera Realty & Infra India marked World Environment Day with a large-scale tree plantation initiative—Plant-with-Purpose—across its projects in Mumbai and Bangalore. The drive was inaugurated at Ajmera Manhattan and Ajmera Greenfinity in Wadala, with senior company officials and residents in attendance. The campaign encourages residents to embrace eco-conscious, self-reliant lifestyles by growing useful plants and trees within their communities. Horticulture expert Devendra Bhekar guided residents on creating and maintaining green spaces. Ajmera Realty planted over 500 trees..

Next Story
Resources

Twaron®-reinforced tyre powers Brunel’s solar race car

Teijin Aramid’s Twaron® with circular content will debut in Bridgestone’s race tyres for the 2025 Bridgestone World Solar Challenge, supporting the Brunel Solar Team’s Nuna 13 car. This marks the first use of the recycled-content aramid in a high-performance race tyre. The Twaron®-reinforced belts help enhance durability, reduce rolling resistance, and maintain lightweight strength—critical for the 3,000-km solar race across Australia. Bridgestone combines this with ENLITENTM tech and other recycled inputs to maximise environmental and performance outcomes. Teijin Aramid, a..

Next Story
Building Material

Kamdhenu Paints launches new wood coating range

Kamdhenu Paints has launched a comprehensive premium wood coating range designed for both interior and exterior applications. The collection includes high-performance solutions like Kamwood 2K PU for a rich matt or high-gloss finish, Kamwood 1K PU for clarity and stain protection, and the Kamwood Melamyne system for a smooth, durable finish. Also featured are Kamwood Wood Stains, which enhance wood grains with vibrant colour, and NC Sanding Sealer for high-build grain filling. The range is supported by Kamwood Thinners for ease of application and optimal finish. Saurabh Agarwal, MD, ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?