Jaiprakash Associates to sell 74% stake in two JV with SAIL to ACC

Jaiprakash Associates is mulling to sell 74% of its stake in two separate cement joint ventures (JV) with state-owned steel maker Steel Authority of India (SAIL) to ACC.

The two cement joint ventures with SAIL located at Bhilai (Chhattisgarh) and Bokaro (Jharkhand) with a total capacity of a little over 4 million tonnes per annum (mtpa). The sale proceeds from the two cement joint ventures with SAIL will be used to trim debts.

The Jaypee Group had last year sold its 4.8 mtpa capacity cement plant to Aditya Birla Group's Ultratech. It is also in talks to sell its two hydro-power projects in Himachal Pradesh mainly to reduce debt.

Jaypee Group is the country’s third largest cement maker. Swiss major Holcim owns majority stake in both ACC and Ambuja Cement with a combined capacity of around 52 mtpa in India.