Ispat industries latest news Approached several suitors even when lenders SBI, ICICI Bank and DBI wanted a strong management in place to resume operations and the continuing debt service is estimated at Rs 6,500 million rupees. Sources said that Ispat board met Monday to clear the proposal transaction.Jindal Steel was approached by Ispat has appointed Kotak Mahindra Bank to explore possible contenders for a controlling stake, the report updates added.Ispat Industries.Edelweiss baji Prasad said the acquisition was interesting the concept of replacement cost. Ispat has a low profile of gains and the need for a turnaround, he said.BK Batra, JSW IDBI agrees that the agreement was positive for the assessment Industries.attractive Ispat one of the best in the five steel companies private capacity. Its integrated complex at Dolva with an annual production capacity of three million tonnes of hot rolled coil, is one of the most modern plants in India.
Buoyed by the move, shares of Ispat shot up 10.42 per cent to touch an early high of Rs. 24.90 on the Bombay Stock Exchange (BSE).Similarly, on the National Stock Exchange, the scrip zoomed 9.97 per cent to an early peak of Rs. 24.80.While JSW has already signed a non-disclosure pact and is carrying out due diligence, Jindal Steel has been approached by Ispat which has appointed Kotak Mahindra Bank to explore possible suitors for a controlling interest, the report added.Ispat Industries Latest News.Commenting on the buyout of Edelweiss baji Prasad said the acquisition was attractive on a replacement cost basis. Ispat has weak earnings profile and need for a turnaround, he said.BK Batra, IDBI JSW agrees that the deal was a positive development for Ispat Industries.
At Monday’s closing price , Ispat’s market cap was pegged at Rs 3,049 crore an attractive valuation for one of the country’s top five private steelmakers by capacity . Its integrated complex at Dolvi, with an annual output capacity of three million tonne of hot-rolled coils, is among the most modern plants in India.The company also has another plant at Kalmeshwar in Maharashtra. Ispat has an attractive asset portfolio as it boasts of dual technology in steel making traditional blast furnace and the electric arc furnace modern method to production providing itw ith flexibility in choosing raw materials. IIL acquisition comes at a time when domestic steel demand remains buoyant.
