JSPL shareholders okay 96.42% stake sale in Jindal Power for Rs.7,401-Cr to Worldone

Jindal Steel and Power Ltd (JSPL) expects to conclude the deal to sell its 96.42 % stake in its arm Jindal Power to a promoters-owned firm Worldone by this year end. More than 97% shareholders of the company have approved the proposal to sell 96.42 % stake the company holds in Jindal Power for INR 7,401 crore to Worldone. Out of total consideration, INR 3,015 crore will be payable by cash, and the balance INR 4,386 crore by way of assumption and takeover of liabilities and obligations of JSPL in relation to inter-corporate deposits and the capital advances paid by JPL to JSPL. The deal will also entail debt associated with JPL (of INR 6,566.440 crore approximately as of December 31, 2020) moving out of JSPL's consolidated books.