State-run steel maker SAIL has sold its entire 26 per cent stake in a cement joint venture for about Rs 235 crore to an indirect subsidiary of Dalmia Bharat.
SAIL had formed the 74:26 venture, Bokaro Jaypee Cement, with Jaiprakash Associates to produce 2.1 million tonne cement using slag. Jaiprakash Associates had sold its 74 per cent stake in the venture to Dalmia in March.
“SAIL has on November 28, 2014 sold its entire 26 per cent equity shareholding of 347,49,000 equity shares of Rs 10 each in Bokaro Jaypee Cement. SAIL has received a sum of Rs 234.56 crore as consideration for sale of the above shares,” the PSU steel maker said in a statement.
SAIL executed the transaction at Rs 67.50 per share.
Diversified firm Dalmia Bharat has a 30-year clinker supply arrangement with Jaiprakash Associates and 30-year slag supply arrangement with SAIL. Dalmia Bharat Group has an annual cement-making capacity of over 21 MT now.