The ongoing merger process of Jindal Stainless Limited and Jindal Stainless (Hisar) Limited has achieved another milestone. Jindal Stainless has informed tat National Company Law Tribunal’s Chandigarh Bench, while hearing the Composite Scheme of Arrangement, inter-alia, providing for merger of Jindal Stainless (Hisar) Limited with Jindal Stainless Limited, confirmed that there were no objections to the Scheme, pending from any person, including the sectoral regulators. Jindal Stainless is awaiting the order of NCLT disposing off the petition. The merger of JSHL in JSL will create a mega stainless steel conglomerate, which will propel Jindal Stainless among the top 10 global stainless steel producers even on its current capacity level. The merged entity will have diversified end-to-end product portfolio of over 120+ stainless steel grades with a 360-degree reach to customers from all segments. While JSL has largely been focused on high volume stainless steel offerings and has been actively catering to sectors like railway, architecture, automobiles and infrastructure, JSHL is focused on high-margin specialized product division and has been actively catering to value-added segments viz precision strips, razor blade and coin blanks and other niche offerings. JSL’s port and raw material proximity coupled with JSHL’s strategically located facility in key domestic consumption centres will harness better operational synergies. Besides, a single entity will have a simplified capital structure, stronger balance sheet and leverage ratios, will improve financial flexibility, and unlock value for all the stakeholders.
The ongoing merger process of Jindal Stainless Limited and Jindal Stainless (Hisar) Limited has achieved another milestone. Jindal Stainless has informed tat National Company Law Tribunal’s Chandigarh Bench, while hearing the Composite Scheme of Arrangement, inter-alia, providing for merger of Jindal Stainless (Hisar) Limited with Jindal Stainless Limited, confirmed that there were no objections to the Scheme, pending from any person, including the sectoral regulators. Jindal Stainless is awaiting the order of NCLT disposing off the petition. The merger of JSHL in JSL will create a mega stainless steel conglomerate, which will propel Jindal Stainless among the top 10 global stainless steel producers even on its current capacity level. The merged entity will have diversified end-to-end product portfolio of over 120+ stainless steel grades with a 360-degree reach to customers from all segments. While JSL has largely been focused on high volume stainless steel offerings and has been actively catering to sectors like railway, architecture, automobiles and infrastructure, JSHL is focused on high-margin specialized product division and has been actively catering to value-added segments viz precision strips, razor blade and coin blanks and other niche offerings. JSL’s port and raw material proximity coupled with JSHL’s strategically located facility in key domestic consumption centres will harness better operational synergies. Besides, a single entity will have a simplified capital structure, stronger balance sheet and leverage ratios, will improve financial flexibility, and unlock value for all the stakeholders.
