PTI reported that Indian steel giant Jindal Steel & Power Limited is likely to acquire Canadian coal firm CIC Energy for about USD 115 million and a binding agreement for the acquisition will be signed in next few weeks.

A source in the JSPL said “The two companies are going to sign a binding agreement for the deal in next few weeks. The deal value is about USD 115 million and it is outright purchase of CIC Energy, amounting to 100% stake.”

When asked, a company spokesperson declined to comment on the proposed deal.

CIC had said that it is in advanced stages of discussions with JSPL for selling controlling stake of the company at an indicative price of CAD (Canadian Dollar) 2 per share, although it did not specify how much stake will be bought by the Indian firm.

The deal would provide JSPL access to CIC's 2.6 billion tonnes of high quality thermal coal in Botswana.

Source - PTI

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