Latest news with #SajjanJindal
New Indian Express
29-05-2025
- Business
- New Indian Express
Construction of Kadapa Steel Plant will begin in 10 days, assures CM Naidu
KADAPA: Chief Minister N Chandrababu Naidu announced that the construction of the much-anticipated steel plant in Kadapa will commence within the next 10 days. Naidu made this announcement after being re-elected as the National President of the Telugu Desam Party on the second day of the ongoing Mahanadu conclave on Wednesday. The declaration, made by the party's election committee chairman Varla Ramaiah, drew loud cheers from party leaders and workers. After assuming charge, Naidu addressed the party workers and revealed that the Rs 4,500 crore, three-Million Tonnes Per Annum (MTPA) steel project, set to be developed by industrialist Sajjan Jindal's JSW Steel, is expected to generate over 3,000 jobs and serve as a cornerstone for industrial growth in the region. 'This project alone will provide employment to more than 3,000 people,' Naidu told a cheering crowd. 'It marks the beginning of a new industrial era for Rayalaseema.' Highlighting his government's commitment to balanced development, the Chief Minister said, 'Our policy is clear—decentralization of development. We are committed to developing every region of the state equally. Large-scale industries must be established in Rayalaseema to ensure balanced growth.' The Kadapa steel plant had earlier faced multiple delays. However, a recent high-level meeting between CM Naidu and JSW Chairman Sajjan Jindal at the Chief Minister's residence in Delhi helped revive the stalled project, paving the way for swift execution. Naidu also unveiled a bold blueprint for statewide water connectivity, with the Banakacherla project taking centre stage. Calling it a transformative initiative, Naidu declared, 'Once the Polavaram–Banakacherla linkage is completed, the state will see immense benefits.'
Time of India
26-05-2025
- Business
- Time of India
JSW Paints to acquire Akzo Nobel India stake for $1.1 billion
NEW DELHI: JSW Paints, led by Sajjan Jindal , is close to acquiring Akzo Nobel India, valuing the Dutch parent Akzo Nobel NV's 74.76% stake at around Rs 9,000 crore ($1.1 billion). This pegs the total valuation of the Indian unit between Rs 12,000-12,200 crore — a 25% discount to its current market price, as per the Economic Times report. If finalised, the acquisition will elevate JSW Paints to the fourth-largest player in India's decorative paints market and second in the industrial paints segment, significantly strengthening its presence. Akzo Nobel India's market capitalisation stands at Rs 16,380 crore, with its shares closing at Rs 3,582 on the BSE on May 23. The stock has gained 40% in the past year amid growing speculation of a stake sale. The acquisition will trigger an open offer for an additional 26% of Akzo Nobel India, based on regulatory norms and the average share price over the past 60 days. The company has about Rs 700 crore in cash, expected to be distributed to shareholders as dividends. JSW plans to fund the buyout with Rs 3,000 crore in promoter equity and another Rs 3,000 crore in bank financing, with lenders including Deutsche Bank, MUFG, and Axis Bank. The agreement is expected to be finalised by mid-June within a 30-day exclusivity window. The deal follows JSW's successful bid over a consortium of Advent International and Indigo Paints. If completed, it could also bring JSW Paints closer to achieving Rs 10,000 crore in annual revenue, setting the stage for a potential IPO. Akzo Nobel India, which has a 7% market share, offers a diverse range of products from decorative paints to industrial and marine coatings. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
26-05-2025
- Business
- Time of India
JSW poised to acquire Akzo Nobel India for $1.1 billion
JSW Paints is set to take over Akzo Nobel India , valuing parent Akzo Nobel NV's 74.76% stake at about Rs 9,000 crore ($1.1 billion), said people aware of the matter. This translates to a Rs 12,000-12,200 crore value for the Indian unit of the Dutch multinational, a 25% discount to the current market price, they said. The deal will take the acquirer to fourth position in the country's decorative paints market and number 2 in the industrial segment, giving it much-needed heft. Akzo Nobel India's market capitalisation is at Rs 16,380 crore, with the stock having closed at Rs 3,582 on Friday. The share has bucked industry trends, surging 40% in the past year in anticipation of a sale. Announcement of the transaction will trigger an open offer for another 26% of the company. This is based on the regulatory formula of the share price's weighted average in the past 60 days, after adjusting for Rs 700 crore cash on the books that will be given to shareholders as dividends. JSW won't exceed the 75% threshold. In the event that the entire open offer quota is tendered by public shareholders, it will buy that much less from Akzo Nobel NV. In that scenario, the Dutch parent won't exit its entire holding in one go and may gradually pare the stake through open market sales. It's estimated that JSW may end up spending Rs 9,000-9,500 crore on the transaction. The two sides are working toward finalising the share purchase agreement by mid-June, within the 30-day exclusivity period, said the people cited. ET reported on May 15 that they had entered into an exclusive agreement to hold negotiations as JSW trumped a competing bid by a consortium of Advent International and Indigo Paints. The JSW promoter family —led by group chairman Sajjan Jindal —is planning to put in Rs 3,000 crore as equity for the buyout, said the people cited. Another Rs 3,000 crore is being financed through banks such as Deutsche Bank, MUFG and Axis, among others. ET has earlier reported the group to be in discussions with the credit funds of KKR , Ares Capital and Goldman Sachs, among others, for funding. Interestingly, the plan is to keep privately owned JSW Paints and Akzo India as two separate businesses and not initiate a reverse merger between the two, according to the people familiar with the plan. Akzo and JSW Group declined to comment. Citi and Morgan Stanley are advisors to the deal. UNHAPPY HUE After announcing its decision to review business operations in the Indian subcontinent in October last year, Akzo India, in February, hived off and agreed to sell its powder coatings business— the unit's most profitable stream that contributes close to 12-14% of sales—to its Dutch parent. This had taken some of the sheen off the deal for contenders. The intense competition in the Indian paints industry and the resultant margin squeeze has also led to valuations getting impacted, according to analysts. FY25 was one of the worst years for the country's paint industry in nearly three decades, with business contracting. This came amid increased competition with the entry of the Aditya Birla Group's Birla Opus in February last year. At an industry level, demand fell 4-5% in FY25. Akzo, like most in the industry, has been bracing for sectoral headwinds. The company has about 7% market share in India and is one of the most profitable in the segment, with an annual production capacity of 250 million litres, focused on high-end decorative paints with its Dulux brand. It experienced low single-digit growth in value in the December quarter while profit was down 5%, partly due to a special dividend issued in the previous year. The automotive and vehicle refinish segments faced challenges, hitting overall performance. Akzo, one of the largest paint companies in the world, has been slashing jobs and production, intensifying concerns about the resilience of European industry, as the continent struggles with rising energy costs following Russia's invasion of Ukraine. JSW is looking for significant gains. It turned profitable at an operating level for the first time in FY24, with an operating margin of 3%. An Akzo buy will inch it closer to third-placed Kansai Nerolac in the decorative segment.
Time of India
24-05-2025
- Business
- Time of India
Bhushan Power case: JSW weighs legal options
MUMBAI: JSW Steel is considering legal options after the Supreme Court rejected its resolution plan for Bhushan Power and Steel. The court ordered Bhushan's creditors to pay back Rs 19,300 crore, which is the amount JSW paid to buy Bhushan. It also directed Bhushan's creditors to repay the equity investments made by JSW in Bhushan. JSW, controlled by steel tycoon Sajjan Jindal, said on Friday it reviewed the situation with lawyers and believes it has strong legal grounds to take further action. The legal step is to ask the court to review its May 2 decision, which found JSW's resolution plan violated India's bankruptcy laws. The court also ordered Bhushan to be liquidated. JSW stated that it followed the law when implementing the original resolution plan, adding that it took all necessary steps to revive Bhushan to its current state.
Time of India
23-05-2025
- Business
- Time of India
JSW Steel Q4 net profit rises 13.54% to Rs 1,501 crore; board approves multiple fundraising plans
JSW Steel, led by Sajjan Jindal, reported a 13.54 percent increase in consolidated net profit to Rs 1,501 crore for the quarter ended March 2025, supported by a reduction in expenses. The company had posted a net profit of Rs 1,322 crore in the same quarter last fiscal, according to an exchange filing on Friday. Despite a dip in total income to Rs 45,049 crore from Rs 46,511 crore in Q4 FY24, JSW Steel managed to cut expenses to Rs 43,032 crore from Rs 44,401 crore year-on-year, PTI reported. For the full fiscal year 2024-25, the company's net profit declined sharply by 61 percent to Rs 3,491 crore, compared with Rs 8,973 crore in FY24. JSW Steel noted that the Q4 profit included a charge of Rs 44 crore. In a separate announcement, the board recommended a final dividend of Rs 2.80 per fully paid equity share of Re 1 each for FY25. The board also approved multiple capital-raising measures, including the issuance of non-convertible debentures with warrants convertible into equity shares worth up to Rs 7,000 crore. Additionally, it cleared plans to raise Rs 7,000 crore via qualified institutional placement through equity shares or convertible securities (excluding warrants). by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Cinnamon: The Greatest Enemy of Blood Sugar Magazine Glyco Learn More Undo Furthermore, the company authorized the issuance of secured or unsecured redeemable non-convertible debentures up to Rs 5,000 crore via private placement. The Finance Committee has been empowered to finalize the terms and details of these issuances. JSW Steel's subsidiary, Bhushan Power and Steel Ltd (BPSL), recorded crude steel production of 0.98 million tonnes and sales volume of 0.94 million tonnes in Q4. BPSL's revenue stood at Rs 5,635 crore with operating EBITDA of Rs 570 crore, reflecting a 5 percent quarter-on-quarter EBITDA growth due to higher sales and lower coking coal costs. The subsidiary posted a profit after tax of Rs 42 crore for the quarter. For FY25, JSW Steel's total production reached 27.79 million tonnes, with saleable steel sales hitting a record 26.45 million tonnes. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
