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JSPL’s plant buy on track, may close by June’18: JSW Energy


NEW DELHI, July 16: The deal with regard to buying JSPL’s 1,000 MW power plant in Chhattisgarh is on track and is likely to close by June next year, JSW Energy has said.
“The Tamnar acquisition is on track and expected to close before the long stop date of June 30, 2018,” JSW Energy said in its annual report 2016-17.
For the Tamnar asset, it said the Sajjan Jindal-led JSW Energy has paid an interest bearing advance of about Rs 373 crore to younger brother Naveen Jindal’s Jindal Steel and Power Ltd (JSPL) as on March 31, 2017 against the shareholders approved limit of Rs 500 crore.
JSW Energy had earlier signed firm agreement with JSPL to acquire 1,000 MW Tamnar project.
JSW Energy had last year said that it will acquire Jindal Steel and Power Ltd’s 1,000 MW power plant in Raigarh, Chhattisgarh for Rs 6,500 crore with certain pre-arranged conditions.
The move is seen as providing help to the Naveen Jindal- led steel-to-power group to pare its debt burden. The consolidated debt of JSPL is around Rs 46,000 crore.
The deal was inked between both the firms in May 2016.
JSW Energy had also entered into a pact with Jaiprakash Power Ventures Limited (JPVL) to acquiring 500 MW Bina thermal power plant.
However, the recent SDR/debt restructuring of JPVL has delayed the Bina acquisition as JPVL’s lenders are yet to approve the same.
“On May 12, 2017, the company and JPVL have agreed to extend the long stop date of the Bina acquisition to December 31, 2017 from May 31, 2017 earlier,” the report said.
JSW Energy operates 4,531 MW — 3,140 MW (thermal) and 1,391 MW (hydel) of power generation capacity with the long term vision of achieving 10,000 MW capacity. (PTI)

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