JSW Steel pays Rs 19,350 crore to financial creditors of Bhushan Power & Steel

NEW DELHI: JSW Steel on Friday said it has paid Rs 19,350 crore to the financial creditors of Bhushan Power & Steel Ltd towards implementation of the resolution plan for acquiring the company.

With the move, JSW Steel has closed the acquisition of Bhushan Power & Steel Ltd (BPSL).

"Pursuant to the implementation of resolution plan, the inter-alia included payment of Rs 19,350 crore to the financial creditors of BPSL and merger of SPV with BPSL, PSL (Piombino Steel Ltd) holds 100 per cent equity shares in BPSL," JSW Steel said in a filing to BSE.

JSW Steel further said a sum of Rs 8,614 crore was arranged in Piombino Steel Ltd, a wholly-owned subsidiary of the company, through a mix of equity, optionally convertible instruments, issued to the company and JSW Shipping & Logistics Pvt Ltd, and debt.

The PSL funds included a total infusion of Rs 5,087 crore by the company in the form of equity and optionally convertible instruments, the company said.

"Of the PSL funds, an amount of Rs 8,550 crore were invested in Makler Private Ltd, a SPV, through equity and convertible instruments.

The SPV also availed short term loans," the filing said.

JSW Group Chairman Sajjan Jindal in a tweet said, "Very proud that with the acquisition of Bhushan Power and Steel Ltd., we have made our entry in Odisha-East India and are now the country's leading Steel Maker. On behalf of all @TheJSWGroup I am happy to welcome the employees of #BPSL to the JSW Family!."