Following divestment of its entire 51% stake in Mukand Sumi Special SteelMukand announced that Jamnalal Sons, an entity belonging to promoter
group of the Company, along with its nominees, has completed the purchase from Mukand (the Company) of the entire 51% of equity share held by the Company in the capital of Mukand Sumi Special
Steel (MSSSL) comprising of 2,12,08,729 equity shares for a total consideration of Rs 1213.13 crore.
In the second and final tranche completed on 30 April 2021, JSPL purchased 87,33,006 equity shares constituting 21% of the issued and paid up capital of MSSSL from the Company for a consideration of Rs 499.52 crore.
With this final transaction, Mukand further reduces it debt by Rs 499.38 crore with immediate effect.
Up 113% in 4 weeks! This specialty steel stock now trades at 13-year high business-standard.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from business-standard.com Daily Mail and Mail on Sunday newspapers.
Jamnalal Sons buys 30% stake in Mukand Sumi for ₹714 crore
January 01, 2021
×
Jamnalal Sons Pvt Ltd, one of the Bajaj group companies, has acquired 30 per cent stake in Mukand Sumi Special Steel from its group company Mukand for ₹714 crore.
Even after completion of the deal, Mukand will retain ownership of its alloy steel manufacturing joint venture in Ginigera, Karnataka and income derived from sale of its alloy steel products, said the company in a statement on Friday.
The approval from the Competition Commission of India for the proposed transaction has been received on December 30, it added.
The disinvestment follows Mukand plans to sell up to 51 per cent of its equity holding in joint venture company Mukand Sumi Special Steel to reduce its debt.