India News
Search Web Directory
News Home
ArcelorMittal offers Rs 4,800 crore for Essar’s Mahan power project in MP
Posted on 19th February 2019
ArcelorMittal has offered lenders Rs 4,800 crore for Essar’s 2×600 MW Mahan thermal power project in Madhya Pradesh, surpassing the Essar promoters’ one-time settlement offer of Rs 3,500 crore, a senior PFC official told FE.

Rajeev Sharma, chairman and managing director of PFC, which is one of the consortium lenders to Essar Power’s MP project, told FE, “We are in process of evaluating the offer. We will offer promoters the first right of refusal, if they will match or exceed the offer, we will select the highest offer. As a transparent mechanism to choose the bidder we will open the window for a day and the highest bidder will be chosen under the reverse auction process. We are hopeful of closing the deal in the next 2-3 months.”

In September 2018, ICICI Bank, the lead lender for the Essar Power’s Mahan project, moved the NCLT seeking initiation of insolvency proceedings against Essar Power MP. However, after the apex court’s order maintaining a status quo on relief to power companies from the February 12 RBI circular, lenders have decided to resolve the issue outside the NCLT.

Essar Power MP owes the consortium of lenders around rs 5,300 crore. Essar owes PFC Rs 1,345 crore as of date.

Apart from the Mahan project, PFC is in an advance stage of resolving around seven stressed assets totalling around Rs 10,234 crore in debt value terms. The company hopes to resolve them in next four to five months.

Some of these projects — Dans Energy and Shiga Energy’s two hydel power projects in Sikkim and Essar Power Transmission’s project — have offered 100% principal recovery of around Rs 1,400 crore to PFC. “We are negotiating a better deal with them. Currently, 16% provisioning is available for these project, and if settled, it will lead to reversal of this provision too,” Sharma said.

GVK Ratle, the 850-MW hydro power project in J&K, owes PFC around Rs 811 crore as of date.

However, the company has been servicing the loan regularly for the last 11 months. So, the asset is expected to be upgraded to ‘standard asset’ from the non-performing category in the coming quarter along with provision reversal of Rs 600 crore, Sharma said.

The two phases of RKM Powergen totalling around 1,240 MW have also tied up 90% of PPA under the pilot scheme of government as well as few positive development with the Chhattisgarh government, which is likely to improve the valuation of the projects.

Few other projects like the Jhabua power project, 1,370 MW Rattan India’s, Amravati project and GMR’s 1,350 MW Chattisgarh project are also in fairly advance stages of resolution, Sharma added.

There are more than 18,000 MW of stressed power projects in the NCLT at present. These projects were identified on the basis of their inability to service loans due to various operational factors, like lack of PPAs or fuel linkages.

Related Companies: Essar Power Ltd.   

Other Latest News
Cipla shareholders approve proposal to raise up to Rs 3,000 crore
Posted on 17th August 2019
Drug major Cipla on Saturday said its shareholders have approved a proposal to raise up to Rs 3,000 crore through issuance of equity shares or other securities convertible into equity shares.

Drug major Cipla on Saturday said its shareholders have approved a proposal to raise up to Rs 3,000 crore through issuance of equity shares or other securities convertible into equity shares.

Two RCom promoters pledge 11.5% more stake in Axis Trustee services
Posted on 17th August 2019
Two promoter entities of Reliance Communications (RCom) have pledged 11.5 per cent more stake in favour of Axis Trustee Services, according to regulatory filings.

Reliance Communications Enterprises and Reliance Telecom Infrainvest on August 16 pledged about 11.51 per cent of their holding in Reliance Communications amounting to 31.82 crore shares in favour of Axis Trustee Services acting as security/debenture trustee.

M&M sets up first car assembly plant in Sri Lanka with Ideal Motors
Posted on 17th August 2019
Mahindra & Mahindra (M&M), along with its local partner in Sri Lanka Ideal Motors, has set up the island nation's first passenger car assembly plant.

The Indian carmaker has set up a joint venture with Ideal Motors, its dealer partner in Sri Lanka for 10 years. The 65:35 JV between Ideal Motors and M&M is christened Mahindra Ideal Lanka Private Limited, which will operate the assembly plant at Welipenna, about 60 km from Colombo.

Sebi imposes restrictions on mutual fund investments in short-term bank deposits
Posted on 17th August 2019
NEW DELHI: Mutual fund houses should ensure that banks -- where a scheme has parked funds in the lender's short-term deposits -- do not invest in that particular scheme, according to Sebi.

The markets watchdog has issued a clarification regarding 'parking of funds in short-term deposits of scheduled commercial banks by mutual funds -- pending deployment'.

Restrictions lifted, landline services partially back in Valley
Posted on 17th August 2019
Srinagar: Restrictions on the movement of people in the Kashmir Valley were eased on Saturday, with landline services restored in some areas of the city, even as stringent security arrangements continued to be in place, officials said.

Seventeen out of a little over 100 telephone exchanges were made operational. These exchanges are mainly in Civil Lines, Cantonment and the airport area of Srinagar district.

» Post a FREE Classified Advertisement
Inviting Real Estate Agents, Job Placements Agents, Educational Institutes, Software Service Providers, Real Estate Builders, Marriage Bureaus, Travel Agents, Restaurant Owners, Health & Fitness Centers and other Local Businesses to Post a FREE Classified Advertisement on Classifieds Website.
Jobs in India India Real Estate Automobiles Matrimonials Beauty & Fitness

Add a comment for ArcelorMittal offers Rs 4,800 crore for Essar’s Mahan power project in MP
Please only use this form to enter comments on the above company. All comments are reviewed before they are displayed on the web site. Not all comments may be displayed. Check back with us to see if your comments have been displayed.
If you want us to email the comments posted by users, please Subscribe by email
Security Code*

Be the first person to write a business review for ArcelorMittal offers Rs 4,800 crore for Essar’s Mahan power project in MP

Most Read News

IOC to invest Rs 2 lakh cr to expand operations

Bharti Airtel, Vodafone Idea shares tumble after Mukesh Ambani announces Reliance Jio’s ambitious plan

Sensex sinks over 300 points; metal, auto stocks drag

Aramco to invest $15bn in Reliance Industries Limited

Yes Bank shares fall to 5 year low; board’s capital raising committee to consider issue price on Aug 14

More India News

Photo Gallery

Jazbaa(11 Images) Jazbaa
  India Web Directory
Business Profiles
Automotive Directory
IT/ITES/BPO Directory
Hotel Directory
Health Directory
Business Directory
Gems & Jewellery
Education Directory
Real Estate Directory
Agriculture Directory
Logistics Directory
Yellow Pages
NRI Guide
Photo Galleries
Global Web Directory
*** FREE India Classifieds
Order Premium Listings
Submit a Site
Business Reviews
About us
Link to us
Contact us
Google Search Keywords: India Catalog, IndiaCatalog, India Web Directory
    © 1999 - 2019
    All Rights Reserved
Privacy Statement