JSPL accepts Rs 7,401-cr revised offer for Jindal Power from Worldone

JSPL on Saturday said its board has accepted the revised offer of Rs 7,401 crore from Worldone Private Limited for divestment of its subsidiary company Jindal Power Ltd.

On July 25, JSPL had announced receiving the Rs 7,401-crore revised offer from Worldone Private Limited to acquire 96.42 per cent stake in Jindal Power Ltd (JPL).

In a statement, Jindal Steel & Power Limited (JSPL) said its "Board has accepted the revised binding offer from Worldone Private Limited to divest its 96.42 per cent stake in JPL".

The company informed that out of Rs 7,401 crore, Rs 3,015 crore will be paid in cash, while the balance Rs 4,386 crore will be settled 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".

The divestment is in line with JSPL's strategic objective to continuously reduce its debt and carbon emissions and focus on steel business.

The company further said it had also invited Expression of Interest (EOI) from domestic and international bidders. However, it did not receive any EOI, and the revised offer from Worldone was selected as the winning bid by JSPL's Board.

Part of O P Jindal Group, JSPL is an industrial powerhouse with a dominant presence in steel, power, mining and infrastructure sectors. Worldone Private Limited is a private company owned by the Promoter Group of JSPL, managing and holding investments across various listed and unlisted companies.