Gayatri Projects concludes stake sale in Sembcorp Energy India
Gayatri Projects has announced that it has concluded the sale of its 5.95% stake in the power assets of Sembcorp Energy India (SEIL), held through its material subsidiary Gayatri Energy Ventures Private Limited (GEVPL), for cash proceeds of Rs. 406.77 Crores. The company had signed a non-binding definitive agreement on December 04,2019 and has now successfully completed the said transaction.
Part proceeds of the sale ie Rs. 206.85 crores would be used towards repayment of Debentures issued by GEVPL to ECL Finance and Edelweiss Credit Opportunities Fund and balance amount would be used for meeting the working capital requirements of the company and for other general corporate purpose.
The above transaction is based on a basic value of Rs. 7000 crores for SEIL. GPL will realise the full value of its stake whenever a market discovered value is available. So if SEIL goes for IPO, stake sale etc, GPL will receive the difference between the market value and base value of Rs 7000 cores.
@EPC World Media