NCLT Approves JSW Energy’s Rs 160 Bn Bid for KSK Mahanadi Power
POWER & RENEWABLE ENERGY

NCLT Approves JSW Energy’s Rs 160 Bn Bid for KSK Mahanadi Power

The National Company Law Tribunal (NCLT) in Hyderabad has approved JSW Energy's resolution plan to acquire the bankrupt KSK Mahanadi Power Company under its Corporate Insolvency Resolution Process. The approved plan amounts to Rs 160.84 billion, which will be used to settle the company's debts. The creditors of KSK Mahanadi, whose total admitted claims exceed Rs 260.94 billion, will receive Rs 160.84 billion as part of the resolution.

As per the plan, Rs 159.85 billion will be paid upfront in cash to KSK Mahanadi's financial creditors, which constitutes almost 50 per cent of the total claims. The major creditors involved include Aditya Birla ARC, Prudent ARC, Power Finance Corporation, and Rural Electrification Corporation, among others.

To fund the acquisition, JSW Energy will raise Rs 130 billion through debt and Rs 30.84 billion in quasi-equity. The acquisition will be executed through a bid company identified by JSW Energy, which will then be merged with KSK Mahanadi as per the terms of the resolution plan.

KSK Mahanadi was admitted into the Corporate Insolvency Resolution Process on October 3, 2019, following a petition filed by Power Finance Corporation. This acquisition represents a significant step toward resolving the financial challenges faced by KSK Mahanadi while enabling JSW Energy to expand its power sector portfolio.

News source: The Hindu

The National Company Law Tribunal (NCLT) in Hyderabad has approved JSW Energy's resolution plan to acquire the bankrupt KSK Mahanadi Power Company under its Corporate Insolvency Resolution Process. The approved plan amounts to Rs 160.84 billion, which will be used to settle the company's debts. The creditors of KSK Mahanadi, whose total admitted claims exceed Rs 260.94 billion, will receive Rs 160.84 billion as part of the resolution. As per the plan, Rs 159.85 billion will be paid upfront in cash to KSK Mahanadi's financial creditors, which constitutes almost 50 per cent of the total claims. The major creditors involved include Aditya Birla ARC, Prudent ARC, Power Finance Corporation, and Rural Electrification Corporation, among others. To fund the acquisition, JSW Energy will raise Rs 130 billion through debt and Rs 30.84 billion in quasi-equity. The acquisition will be executed through a bid company identified by JSW Energy, which will then be merged with KSK Mahanadi as per the terms of the resolution plan. KSK Mahanadi was admitted into the Corporate Insolvency Resolution Process on October 3, 2019, following a petition filed by Power Finance Corporation. This acquisition represents a significant step toward resolving the financial challenges faced by KSK Mahanadi while enabling JSW Energy to expand its power sector portfolio. News source: The Hindu

Next Story
Equipment

Handling concrete better

Efficiently handling the transportation and placement of concrete is essential to help maintain the quality of construction, meet project timelines by minimising downtimes, and reduce costs – by 5 to 15 per cent, according to Sandeep Jain, Director, Arkade Developers. CW explores what the efficient handling of concrete entails.Select wellFirst, a word on choosing the right equipment, such as a mixer with a capacity aligned to the volume required onsite, from Vaibhav Kulkarni, Concrete Expert. “An overly large mixer will increase the idle time (and cost), while one that ..

Next Story
Real Estate

Elevated floors!

Raised access flooring, also called false flooring, is a less common interiors feature than false ceilings, but it has as many uses – if not more.A raised floor is a modular panel installed above the structural floor. The space beneath the raised flooring is typically used to accommodate utilities such as electrical cables, plumbing and HVAC systems. And so, raised flooring is usually associated with buildings with heavy cabling and precise air distribution needs, such as data centres.That said, CW interacted with designers and architects and discovered that false flooring can come in handy ..

Next Story
Infrastructure Urban

The Variation Challenge

A variation or change in scope clause is defined in construction contracts to take care of situations arising from change in the defined scope of work. Such changes may arise due to factors such as additions or deletions in the scope of work, modifications in the type, grade or specifications of materials, alterations in specifications or drawings, and acts or omissions of other contractors. Further, ineffective planning, inadequate investigations or surveys and requests from the employer or those within the project’s area of influence can contribute to changes in the scope of work. Ext..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?