JSPL Postpones EGM on Jindal Power Disinvestment
IANS reported that Jindal Steel and Power Ltd, in face of a section of investors questioning and seeking examination of the disinvestment plan of company's
IANS reported that Jindal Steel and Power Ltd, in face of a section of investors questioning and seeking examination of the disinvestment plan of company's subsidiary Jindal Power Ltd, postponed its Extraordinary General Meeting. JSPL said "A few investors have requested the company to examine and simplify certain terms around the JPL disinvestment, before requiring them to consider resolutions in relation to the same. As a responsible corporate group, JSPL has deferred the EGM and is working on simplifying certain terms according to the feedback received from investors. Details will be shared soon with all the stakeholders.”
JSPL had called company's EGM to get shareholders’ approval for JPL disinvestment in favour of Worldone Pvt Ltd, a company owned by the Jindal family.
While JSPL stands its ground that the JPL disinvestment was finalised following the due process and after evaluating reports of independent transaction advisories and values, a section of investors have questioned the valuation arrived at in the deal that would be detrimental to the interests of JSPL. According to Chennai-based shareholder advisory firm Ingovern, the enterprise value of JPL is in the range of INR 10,000-12,000 crore but the promoters want to take control of 96.42% of the company for just INR 3,015 crore.