Jindal Steel and Power (JSPL) is all set to buy 53.63% stake in Gujarat NRE Coke’s loss-making Australian arm through a complex deal, which involves issue of convertible notes, placement of shares and option to acquire shares at a later stage.
Prior to the transaction, JSPL was the second largest shareholder in Gujarat NRE Coking Coal, after its promoters, with 31.49% stake. The Naveen Jindal-led company had launched a failed bid during February-March this year to acquire controlling stake in Gujarat NRE Coking Coal through an open offer.
As on June 30, 2013, the promoters holding in the company stood at 52.22% while institutions and non-institutions held 18.55% and 29.23% stake in company, respectively.
JSPL is a part of Jindal Group and is a leading player in Steel, Power, Mining, Oil & Gas and Infrastructure. The company produces economical and efficient steel and power through backward integration from its own captive coal and iron-ore mines and passes on the benefits to its customers.
