Jindal Steel and Power (JSP) Limited has acquired debt-laden
Monnet Power for Rs 410 crore through insolvency route, a company official said
on Thursday.
The
transaction for the Odisha-based 1,050 megawatt power asset was completed on
Wednesday, Kapil Mantri, head of strategy at JSP said.
“We have won the bid for Rs 410 crore for liquidation of power plant of Monnet
Power via National Company Law Tribunal (NCLT) route,” he said.
The new
asset will provide power to JSP’s steel plant in Angul, which is in expansion
mode, Mantri said.
Replying to
a question related to the operations of the power plant, he said it is an
under-construction project and his company aims to make it operational within
next one year by infusing fresh investments.
“We still
have to estimate the investment needed to make the plant operational. This
asset will use 25% less coal helping in low carbon emissions,” the company
official said.
Coal will
be sourced from Uktak C, B1 and B2 mines of JSP.
Part of OP Jindal Group, JSP has a significant presence in the steel, power,
and mining sectors with an investment of Rs 90,000 crore across the globe. —
PTI
Deal
dynamics
- The company has
acquired Monnet Power through insolvency route
- The new asset will
provide power to JSP’s steel plant in Angul, which is in expansion mode
- Monnet Power is an
under-construction project and JSP aims to make it operational within a
year by infusing fresh investments