M&A

M&A

JSPL revises offer for hiving off power arm to Rs.7,401-Cr

Mint  

Domestic metals and mining company Jindal Steel and Power Ltd (JSPL) has revised the divestment plan of the company's subsidiary Jindal Power Ltd (JPL) and has offered a revision from Worldone, a promoter entity. The company's initial offer in May had drawn flak from a section of investors who cited low valuation of the deal and related party nature of the transaction as contentious issues. Worldone will buy out all the equity shares and redeemable preference shares of JPL held by JSPL for a total consideration of approximately INR 7,401 crore, of which INR 3,015 crore will be payable by cash and the remaining approximately INR 4,386 crore will be by way of assumption and takeover of liabilities and obligations of JSPL in relation to inter-corporate deposits and the capital advances extended by JPL to JSPL.