 "JSW Energy")
Fair trade regulator, the Competition Commission of India (CCI) has approved the buy-out of Jaiprakash's Bina Power Supply Limited by JSW Energy Limited. Earlier this year, Jaiprakash Power Ventures Ltd agreed to the sale of its Bina Thermal Power Plant to JSW Energy Ltd .
The sale is to be executed through sale of shareholding in a special purpose acquisition entity called Bina Power Supply Ltd (BPSL).
Jaiprakash Power's board, in July, agreed to transfer the Bina Thermal power plant along with all its assets, liabilities, contracts and deeds to BPSL.
"The consideration of sale of entire securities of Bina Power Supply Limited to be received from JSW Energy is linked to a base enterprise value of as on September 1, 2015 of Rs 2,700 crore, subject to mutually agreed adjustments," Jaiprakash Power said at the time of approving the merger.
JSW Energy signed a binding memorandum of understanding with Jaiprakash Power Ventures to buy its 500 megawatts (MW) Bina power plant.This will help Jaiprakash Power, which had a debt of Rs 22,414.94 crore as on March 31, 2016 to reduce interest outgo.
