JSW Steel To Acquire National Steel And Agro Industries JSW Steel Coated Products proposes to pay INR 612.47 crore to the financial creditor of NSAIL, towards assignment of the financial debt owed by NSAIL to such financial creditor
By Teena Jose
Opinions expressed by Entrepreneur contributors are their own.
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
JSW Steel, the flagship company of the diversified JSW Group, got approval in respect to the corporate insolvency resolution process of National Steel and Agro Industries (NSAIL) in a month's time for a total consideration of INR 621 crore. Last week, JSW Steel said the resolution plan submitted by JSW Steel Coated Products for NSAIL was approved under the Corporate Insolvency Resolution Process.
According to media reports, JSW Steel Coated Products proposes to pay INR 612.47 crore to the financial creditor of NSAIL, towards assignment of the financial debt owed by NSAIL to such financial creditor. Also, its wholly owned subsidiary JSW Steel Coated Products will infuse another INR 8.52 crore by way of loans in NSAIL for settlement of unpaid insolvency resolution process costs and payment towards operational creditors among others, JSW Steel said in a regulatory update.
JSW Steel further said, NSAIL shall be delisted pursuant to resolution plan without any exit price being paid to the shareholders. "NSAIL shall be delisted pursuant to Resolution Plan approved by the National Company Law Tribunal, Mumbai Bench without any exit price being paid to the shareholders," said the company in a statement.
Separately, JSW Steel has entered into an agreement with Japan's JFE Steel to conduct a feasibility study for a manufacturing joint venture in India. After the study, the companies will form a 50:50 joint venture to manufacture an entire range of cold rolled grain oriented electrical steel (CRGO) products in Vijayanagar, Karnataka, JSW Steel said in a statement.
