M&A

M&A

Dalmia Bharat to acquire JAL's cement assets in over Rs.1,500-Cr deal

BSE Disclosure   Economic Times  

Publicly listed Dalmia Bharat has executed definitive agreements with Jaiprakash Associates Ltd (JAL) for the acquisition of JP Super Cement Plant in Uttar Pradesh at an enterprise value of INR 1,500 crore and costs and expenses of up to INR 190 crore. As part of that, the acquirer also executed a share purchase agreement for acquisition of 74% shareholding of Bhilai Jaypee Cement Ltd (BJCL) at an enterprise value of INR 666 crore. It has also signed a long-term lease agreement (having a term of seven years) with Jaiprakash Power Ventures Ltd for its Nigrie Cement Grinding Unit of 2 million MTPA (Nigrie Unit) located at Singrauli in Madhya Pradesh. The acquirer has the option to purchase the Nigrie Unit anytime within the lease period at an enterprise value of INR 250 crore.