Naveen Jindal-owned Jindal Steel and Power Ltd is all set to divest 100% of its holding in Jindal Power Limited to Worldone Private Limited, a company owned by the Promoter Group of JSPL.
Worldone manages and holds investments across various listed and unlisted companies.
In a statement issued by JSPL, it said that after several rounds of discussions, JSPL and its transaction advisors have successfully negotiated a revised and improved binding offer from Worldone accommodating all of the investor feedback received by the company.
As per the revised offer, Worldone will buy out all the equity shares and redeemable preference shares of JPL held by JSPL for a total consideration of approximately Rs 7,401 crore of which Rs 3,015 crore will be payable by cash, and the balance of Rs 4,386 crore 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.
In effect, says a statement by JSPL, the revised offer is now simple and straightforward where there will be no continuing financial linkage between JSPL and JPL post the divestment.
“This was one of the key demands of JSPL investors during the feedback sessions held earlier and it has been addressed,” says JSPL.
It says that in order to protect the interests of its investors, especially its minority shareholders, JSPL has decided to invite more bids for JPL using the revised offer of Worldone of Rs. 7401 crore as the base offer.