Domestic metals and mining company Jindal Steel and Power Ltd (JSPL) has revised the disinvestment plan of the company’s subsidiary Jindal Power Ltd (JPL). The company has also offered a revision from Worldone (a promoter entity). In a statement, the company said that the decision to revise the offer was taken after taking into consideration all of the investor feedback received by the company post its initial offer in May, which had drawn flak from a section of investors who cited low valuation of the deal and related party nature of the transaction as contentious issues.
According to the revised offer, the company said that Worldone will buy out all the equity shares and redeemable preference shares of JPL (held by JSPL) for a total consideration of approximately ₹7,401 crore of which ₹3,015 crore will be payable by cash, and the balance ₹4,386 crore (approximately) will be 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.
