Dubai-based Star Group offers Rs 1,200 crore for Ind-Barath Energy (Utkal) thermal plant: reports

0
250

Dubai-based Star Group has offered Ind-Barath Energy (Utkal) Resolution Professional to pay Rs 1,200 crore for an under-construction 700-MW thermal plant in Odisha’s Jharsuguda district, according to media reports.

The Star Group offer is much higher than Rs 850-crore bid by JSW Energy, according to a report in the Hindu Business Line.

Last month, JSW Energy withdrew its offer for the yet-to-be completed thermal plant.

“It will be our endeavour to conclude the deal at the shortest possible time to your satisfaction. We are hopeful of making our resolution proposal both competitive, equitable and difficult to improve by another suitor,” Star Group said in a letter written to the Resolution Professional, according to the Hindu Business Line.

Post-acquisition of the Ind-Barath, Star Group intends to invest another Rs 500 crore in the asset within one year, the newspaper reported.

JSW Energy on February 2 told in an exchange notification that it decided to terminate its resolution plans to take over the stressed thermal power plant.

“In the intervening period of more than 15 months since the submission of the Resolution Plan, a Material Adverse Change (MAC) event, as defined under the Resolution Plan has occurred. A MAC event entitles the Company to terminate the Resolution Plan. The Company has accordingly served a notice of MAC to the RP and the CoC today and terminated the Resolution Plan with immediate effect,” the company said at that time.