Jindal Steel and Power revises power arm's divestment
Steel

Jindal Steel and Power revises power arm's divestment

Jindal Steel and Power Ltd (JSPL) has received a revised offer of Rs 7,401 crore for the divestment plan of the company’s subsidiary Jindal Power Ltd (JPL) from Worldone Private Ltd for its thermal power arm.

The company told the media that the decision to revise the offer was taken, after feedback was received from several investors by the company after its initial offer in May, who cited a low valuation of the deal.

A promoter entity Worldone will acquire all the equity shares and redeemable preference shares for a total consideration of nearly Rs 7,401 crore of JPL held by JSPL.

JSPL said that out of the total bid value, Rs 3,015 crore will be payable by cash and the remaining will be by way of assumption and takeover of liabilities and obligations of JSPL, according to the revised offer.

Subramanian said that the debt of Rs 4,386 crore of JPL, is taken over by the promoter company from JSPL in this revised proposal.

Founder and managing director of InGovern Research Services, Subramanian, had opposed the initial divestment proposal.

JSPL has maintained the revised offer is now simple, where there will be no continuing financial link between JSPL and JPL post the divestment.

JSPL also said that it has decided to undertake a competitive bidding process to realise the highest value possible from the JPL stake sale, using the revised offer of Rs 7,401 crore as the base offer.

JSPL will undertake an additional transparent competitive bidding process open to the world to observe if the company can obtain an even higher value than the present revised offer by Worldone.

Image Source


Also read: JSPL will invest Rs 1 lakh crore in Odisha for next 10 years

Jindal Steel and Power Ltd (JSPL) has received a revised offer of Rs 7,401 crore for the divestment plan of the company’s subsidiary Jindal Power Ltd (JPL) from Worldone Private Ltd for its thermal power arm. The company told the media that the decision to revise the offer was taken, after feedback was received from several investors by the company after its initial offer in May, who cited a low valuation of the deal. A promoter entity Worldone will acquire all the equity shares and redeemable preference shares for a total consideration of nearly Rs 7,401 crore of JPL held by JSPL. JSPL said that out of the total bid value, Rs 3,015 crore will be payable by cash and the remaining will be by way of assumption and takeover of liabilities and obligations of JSPL, according to the revised offer. Subramanian said that the debt of Rs 4,386 crore of JPL, is taken over by the promoter company from JSPL in this revised proposal. Founder and managing director of InGovern Research Services, Subramanian, had opposed the initial divestment proposal. JSPL has maintained the revised offer is now simple, where there will be no continuing financial link between JSPL and JPL post the divestment. JSPL also said that it has decided to undertake a competitive bidding process to realise the highest value possible from the JPL stake sale, using the revised offer of Rs 7,401 crore as the base offer. JSPL will undertake an additional transparent competitive bidding process open to the world to observe if the company can obtain an even higher value than the present revised offer by Worldone. Image Source Also read: JSPL will invest Rs 1 lakh crore in Odisha for next 10 years

Next Story
Resources

Madhya Pradesh Champions Inclusive Tourism at Heritage Sites

On the occasion of World Heritage Day, Madhya Pradesh is taking a significant step toward inclusive tourism by making its historical sites accessible to all — especially persons with disabilities. The state is rolling out its ‘Accessibility Infrastructure and Development’ project at Maheshwar, Mandu, Dhar, and Orchha, aiming to create a more welcoming experience at these iconic cultural destinations.The initiative, under the leadership of Chief Minister Dr Mohan Yadav and Tourism Minister Shri Dharmendra Bhav Singh Lodhi, includes infrastructure upgrades such as ramps, Braille signage, w..

Next Story
Resources

Runwal Realty Onboards Sonam Kapoor as Brand Ambassador

Real estate major Runwal has unveiled a refreshed identity as Runwal Realty, signalling a renewed commitment to crafting spaces that stand the test of time. With this refresh, the brand unveils its new philosophy: “Building for Generations to Come” and welcomes Bollywood star and global fashion icon Sonam Kapoor as its brand ambassador. This evolved identity reflects Runwal Realty’s commitment to creating not just homes, but heirlooms—crafted through visionary design, meticulous planning, global design expertise and an unwavering focus on quality. With the customer at its core, each de..

Next Story
Infrastructure Urban

Emerging Trends in Infrastructure and Transport 2025: KPMG

KPMG’s latest report, The Great Reset: Emerging Trends in Infrastructure and Transport 2025 edition, sheds light on the profound changes transforming the global infrastructure landscape. As industries adapt to the challenges posed by climate change, economic pressures, and technological advancements, the report identifies key trends and provides actionable insights for leaders in infrastructure and transport sectors. “In today’s interconnected world, the lack of standardized supply chain practices is not just an operational challenge—it’s an environmental and economic one. We’..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?