JSW Ispat Steel Ltd has signed a deal to refinance Rs. 6,150 crore ($1.4 billion) of debt, enabling it to exit from a corporate debt restructuring programme..JSW Ispat has borrowed a term loan from a consortium of banks led by Bank of India..AZB & Partners advised the lenders with a team led by Partner Bahram N. Vakil along with Associate Kumarjit Ray..According to Business Standard, the company, formally controlled by the brothers of billionaire Lakshmi Mittal, who heads the world’s largest steelmaker ArcelorMittal, was taken over by JSW Steel last year after it ran up big losses. JSW Ispat, which had posted a net loss of Rs 740 crore for the six months ended last December, had debt of Rs 7,157 crore as of June 30..Live Mint reports, JSW Steel did not go for refinancing the full debt because it posted good operating margins, good results. So, they will make up for the remaining through internal accruals now..JSW Steel, in which Japan’s JFE Holdings owns 14.9 percent stake, last year bought a 41 percent stake by way of preferential allotment of 1 billion equity shares in ISPAT Industries Limited in a deal amounting to Rs. 2,175 crore ($450 million) to expand its operations.
JSW Ispat Steel Ltd has signed a deal to refinance Rs. 6,150 crore ($1.4 billion) of debt, enabling it to exit from a corporate debt restructuring programme..JSW Ispat has borrowed a term loan from a consortium of banks led by Bank of India..AZB & Partners advised the lenders with a team led by Partner Bahram N. Vakil along with Associate Kumarjit Ray..According to Business Standard, the company, formally controlled by the brothers of billionaire Lakshmi Mittal, who heads the world’s largest steelmaker ArcelorMittal, was taken over by JSW Steel last year after it ran up big losses. JSW Ispat, which had posted a net loss of Rs 740 crore for the six months ended last December, had debt of Rs 7,157 crore as of June 30..Live Mint reports, JSW Steel did not go for refinancing the full debt because it posted good operating margins, good results. So, they will make up for the remaining through internal accruals now..JSW Steel, in which Japan’s JFE Holdings owns 14.9 percent stake, last year bought a 41 percent stake by way of preferential allotment of 1 billion equity shares in ISPAT Industries Limited in a deal amounting to Rs. 2,175 crore ($450 million) to expand its operations.
