Deal of the Month
JSW Energy Limited (JEL) is acquiring the 1,000 MW (4X250 MW)
power plant in Chhattisgarh’s Tamnar village in Raigarh district for an
Enterprise Value of INR 65 billion from Jindal Steel and Power Limited
Enterprise Value per MW: INR 65 million per MW
The deal will be completed in two stages, an initial consideration of
INR 40 billion and an additional INR 25 billion, if the plant secures a
long-term power purchase agreement and fuel security before 2018. The
plant also serves nearby JSPL facilities, and will be fully decoupled as
part of the transaction.
The plant will be transferred to a special purpose vehicle - Everbest
Steel & Mining Holding before the transaction closure. The deal also
involves payment of an interest-bearing advance of INR 5 billion, after
approval from the shareholders of JSW Energy and Jindal Steel, and the
Competition Commission of India.
Click here to learn more about this deal
Disclaimer: Aurum Equity Partners LLP was not a part of this deal in any way.