Steel and wire rope manufacturer Usha Martin today said it will divest its entire stake in its joint venture (JV), Dove Airlines, for Rs 8.10 crore.
In a BSE filing, the firm said: "The company has agreed to divest its entire stake of 50 per cent held in Dove Airlines Pvt Ltd (DAPL), a JV company at a consideration of Rs 8,10,50,000 subject to certain adjustments."
The necessary share purchase agreement for the divestment has been signed by the company on November 9, 2015 and the transaction will be completed upon receipt of approval from DGCA, Government of India, it added.
"Subsequent to such divestment, DAPL shall cease to be a JV of the company," it said.
For the second quarter ended September 30, 2015, the firm reported consolidated net sales of Rs 1012.99 crore and a net loss of Rs 99.33 crore.
On the results, Usha Martin said the business continued to remain under severe pressure due to cheap imports and depressed demand.
Shares of the company today declined by 0.68 per cent to settle at Rs 14.50 apiece at the BSE. Earlier in the day its scrip traded at a 52-week low of Rs 13.20 per share.
