JSPL climbs 3% on plant sale report, JSW Steel edges higher

NEW DELHI: Shares of Naveen Jindal-led Jindal Steel & Power (JSPL) climbed 3 per cent, while that of elder borther Sajjan Jindal’s JSW Steel edged over half a per cent higher amid reports the latter was looking to acquire former’s 1,000 mw power plant, valuing nearly Rs 6,000 crore.

The plant belongs to Jindal Power, a subsidiary of JSPL.

"The broad contours of the deal have been almost finalised and it is likely to be announced shortly," one of these persons familiar with the matter told the Economic Times.

JSPL ended 2.63 per cent higher at Rs 60.45. JSW Steel rose 0.77 per cent to Rs 1,211.50.

“As per company policy, we do not respond to speculations. As part of monetisation plans already advised, JSPL is looking at various options diligently to strengthen our balance sheets," a JSPL spokesperson said.

A JSW Energy spokesperson, however, declined to comment on the ET’s query.

To reduce its debt, JSPL earlier this week a subsidiary company of JSPL entered into a definitive agreement to divest 4.12 per cent holding in India Energy Exchange. The company expected to realise the consideration within the current financial year.