+
Jindal Steel expects to sell over 96% Jindal Power stake by December
Steel

Jindal Steel expects to sell over 96% Jindal Power stake by December

Jindal Steel and Power Limited (JSPL) is hopeful of selling 96.42% stakes in Jindal Power Ltd (JPL) at Rs 7,401 crore to Worldone by December 2021.

Over 97% of the company's shareholders have approved the proposal to sell 96.42% stakes that Jindal Power holds to Worldone for Rs 7,401 crore, on Friday.

According to the official sources, the shareholders have faith in JSPL's environmental, social, and governance (ESG) Vision. The company's almost 90% of the shareholders have approved and voted in favour of the Jindal Power divestment to Worldone. The process of divestment will be cleared by the end of this year.

As per the deal, Worldone is expected to buy JPL's total equity shares and redeemable preference shares of JSPL for approximately Rs 7,401 crore.

From the total cost, Rs 3,015 crore will be paid by cash, and the remaining Rs 4,386 crore will be the takeover of liabilities and obligations of JSPL with inter-corporate deposits and capital advances paid by JPL to JSPL.

The divestment will have debt associated with JPL of approximately Rs 6,566.440 crore, moving out from JSPL's consolidated books, hence strengthening JSPL's balance sheet.

Earlier, JSPL, through Grant Thornton Advisory Pvt Ltd, an independent transaction advisor, had taken up an additional competitive and public bidding for selling the entire stake in JPL to maximise the value for the shareholders.

Inviting the Expression of Interest (EOI) from domestic and international bidders was published in newspapers but did not receive any EOI, so the revised offer from Worldone was selected as the winning bidder for JSPL.

JPL's divestment is a strategic objective of JSPL to focus on the Indian steel business, become a net debt free firm, and reduce its carbon footprint by almost half of the ESG goals.

Image Source


Also read: Jindal Steel plans $2.4 bn investments to improve demand prospects

Also read: Jindal Steel plans to invest $2.4 billion in next six years

Jindal Steel and Power Limited (JSPL) is hopeful of selling 96.42% stakes in Jindal Power Ltd (JPL) at Rs 7,401 crore to Worldone by December 2021. Over 97% of the company's shareholders have approved the proposal to sell 96.42% stakes that Jindal Power holds to Worldone for Rs 7,401 crore, on Friday. According to the official sources, the shareholders have faith in JSPL's environmental, social, and governance (ESG) Vision. The company's almost 90% of the shareholders have approved and voted in favour of the Jindal Power divestment to Worldone. The process of divestment will be cleared by the end of this year. As per the deal, Worldone is expected to buy JPL's total equity shares and redeemable preference shares of JSPL for approximately Rs 7,401 crore. From the total cost, Rs 3,015 crore will be paid by cash, and the remaining Rs 4,386 crore will be the takeover of liabilities and obligations of JSPL with inter-corporate deposits and capital advances paid by JPL to JSPL. The divestment will have debt associated with JPL of approximately Rs 6,566.440 crore, moving out from JSPL's consolidated books, hence strengthening JSPL's balance sheet. Earlier, JSPL, through Grant Thornton Advisory Pvt Ltd, an independent transaction advisor, had taken up an additional competitive and public bidding for selling the entire stake in JPL to maximise the value for the shareholders. Inviting the Expression of Interest (EOI) from domestic and international bidders was published in newspapers but did not receive any EOI, so the revised offer from Worldone was selected as the winning bidder for JSPL. JPL's divestment is a strategic objective of JSPL to focus on the Indian steel business, become a net debt free firm, and reduce its carbon footprint by almost half of the ESG goals. Image Source Also read: Jindal Steel plans $2.4 bn investments to improve demand prospects Also read: Jindal Steel plans to invest $2.4 billion in next six years

Next Story
Infrastructure Energy

Bihar Launches Rs 53.4 Billion Green Energy Plan

The Bihar government has taken a major stride towards clean energy with the launch of two new policies and the signing of agreements totalling Rs 53.4 billion. These initiatives aim to generate 2,357 megawatts (MW) of renewable energy through solar, wind, battery storage, and other sustainable technologies.The Bihar Renewable Energy Policy 2025 and the Pump Storage Policy 2025 were officially introduced at an event in Patna. Designed to attract significant investment, the policies seek to position Bihar as a key centre for clean energy projects. Energy Minister Bijendra Prasad Yadav stated tha..

Next Story
Infrastructure Transport

Bids Invited for Rs 62.5 Billion Vizag Metro Project

The long-anticipated Visakhapatnam Metro Project has made significant progress, with the Andhra Pradesh Metro Rail Corporation inviting bids for the first civil contract under Phase 1 of the Vizag Metro. The estimated cost of this contract is Rs 62.5 billion.This engineering, procurement and construction (EPC) contract covers the design and construction of a 46.23 km viaduct spanning three corridors, including a 20.16 km double-decker four-lane flyover cum metro viaduct. The project also comprises 42 elevated metro stations across Visakhapatnam.Recently, SYSTRA Consultancy signed a Memorandum ..

Next Story
Real Estate

Oberoi Realty to Buy Hotel Horizon for Rs 9.19 Billion

A consortium led by Mumbai-listed Oberoi Realty Ltd is set to acquire debt-laden Hotel Horizon Pvt Ltd in Juhu, Mumbai for Rs 9.19 billion (approximately USD 107 million) under a resolution plan approved through India’s Insolvency and Bankruptcy Code (IBC).In a filing to the stock exchange, Oberoi Realty confirmed that the Committee of Creditors of Hotel Horizon had approved the resolution plan, following which a letter of intent was issued. The consortium also includes Shree Naman Developers and JM Financial Properties.As per the resolution plan, the consortium will make a payment of Rs 9.1..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?