JSPL, one of India’s fastest growing and largest integrated steel manufacturers, announced that its subsidiary, Jindal Steel & Power (Mauritius) Ltd. (JSPML) has accepted a binding offer from Templar Investments Limited to divest its entire stake in its Oman asset, Jindal Shadeed Iron and Steel Co LLC (JSIS Oman). The enterprise value of the deal is over $1 billion.
The divestment is in line with JSPL’s vision and commitment to continuously bring down its debt and deleverage its balance sheet, the Company said in its press statement.
Alpen Capital, a Middle East-based investment bank was appointed which ran a sale process and received competitive offers from multiple interested bidders. CMS Cameron McKenna Nabarro Olswang LLP, Oman and Cyril Amarchand Mangaldas, India are the legal advisors for the transaction.
V.R. Sharma, MD- JSPL said, “This sale is in-line with our vision to reduce debt and create a much healthier balance sheet for our investors and stakeholders. We firmly believe in the India growth story.”
The transaction is subject to approval from shareholders of JSPL and lenders of JSIS Oman among others. JSPL expects the transaction to close in approximately a month.
JSPL is an industrial powerhouse with a dominant presence in steel, power, mining and infrastructure sectors. Having an investment of $ 12 billion USD across the globe, the company is continuously scaling its capacity utilization and efficiencies to capture opportunities for building a self-reliant India.
Templar Investments Limited, Mauritius is an investment company and part of the Promoter Group of JSPL.
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