Jindal Steel and Power Limited’s board of directors approved the sale of its entire equity interest in Jindal Power Limited to Worldone Private. The JSPL said in a regulatory filing on Tuesday that the deal was finalized at an all-cash price of 3,015 crores for a 96.42 percent interest.
Shares of the company were seen trading at Rs 453 up 2.51% on BSE at 9.57 am IST. It touched an intraday high of Rs 455 during the trade.
The divestment is in line with JSPL’s strategic goal of steadily reducing debt, focusing on its India Steel market, and reducing its carbon footprint by nearly half as part of its ESG goals.
The Acquirer submitted the highest binding bid on appropriate terms and conditions, and the Worldone was chosen through an elaborate bidding process run by Grant Thornton Advisory.
The Acquirer, Worldone Private Limited, is a private company limited by shares incorporated in India in 1999 and currently engaged in the business of investment holding.
The proposed sale is contingent on the requisite approvals from the parties involved. The long stop deadline for completing the proposed sale is 12 months, which the parties can mutually extend.
Grant Thornton served as the Transaction Advisor and oversaw a thorough selling process that included reaching out to a wide range of national and foreign investors. JSPL’s legal counsel for the deal was Cyril Amarchand Mangaldas of India.
Shri V.R. Sharma, MD- JSPL said, “This divestment is in line with our ESG objectives to be amongst the top 10 lowest Co2 emitting steel companies of the world. It is yet another step towards our vision to reduce debt substantially and create a robust balance sheet for our investors and stakeholders.
JSPL is an industrial behemoth with a stronghold in the steel, power, mining, and infrastructure industries. The company is constantly scaling its capacity utilizations and efficiencies to seize opportunities for building a self-reliant India, with an investment of $ 11 billion USD around the globe.
For investment related articles, business news and mutual fund advise
You have already subscribed