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Indian Metals & Ferro Alloys gets nod to sell FAD to IAFL

21 Jan 2013 Evaluate

Indian Metals & Ferro Alloys (IMFA) has received an approval for sale of its 30 MVA furnace and other related assets, including, the plant and machinery related to briquetting plant and the gas cleaning plant (FAD) to IMFA Alloys Finlease (IAFL), a wholly owned subsidiary of IMFA, as asset sale. The board at its meeting held on January 21, 2013 has approved for the same.

Besides, the sale is for a total purchase price of Rs 33.28 crore which is equal to the written down value of these assets determined as per the Income Tax Act, 1961.

After the completion of the sale of the FAD by IMFA to IAFL, POSCO will subscribe to such number of equity shares in IAFL as would result in IMFA owning 76% of the issued and paid-up share capital of IAFL and POSCO owning the remaining 24% of the issued and paid-up share of IAFL.

Indian Metals & Ferro Alloys is primarily involved in the production of ferro alloys including charge-chrome (high-carbon ferro-chrome), and has an installed furnace capacity of 157 MVA in its two units in Therubali and Choudwar2 districts of Orissa. The company’s operations are supported by a 108 MW captive thermal power plant (at Choudwar) and captive chromite mines. 

Indian Metal & Ferro Share Price

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