M&A

M&A

Welspun Corp clinches ABG's Shipyards with Rs.659-Cr bid

Economic Times  

Welspun Corp has emerged as the winning bidder of the shipyard of distressed borrower ABG Shipyard at an auction for a consideration of INR 659 crore. Welspun Corp and its subsidiary Nauyaan Shipyard would acquire the ABG asset at Dahej, in Gujarat. The asset is spread over 165 acres of leasehold land with 1,000 m of water frontage. Once owned by Rishi Agarwal, ABG Shipyard is undergoing liquidation after lenders failed to find a buyer under insolvency proceedings. It is among the 12 initial companies the Reserve Bank of India (RBI) had directed lenders to refer to the bankruptcy court for resolution. Welspun has proposed using ABG Shipyard's facilities for defence and commercial shipbuilding, green steel, ship breaking and ship repair.