The Essar Group on October 15 sealed a $13-billion deal to sell its 98% stake in Essar Oil and related infrastructure to a consortium led by Russia’s Rosneft, calling it a part of its strategy to build and nurture businesses and then to monetise its assets, to deleverage. Essar’s divestment is the biggest so far but it is not the first company to do so.
In fact, since the last two years several domestic companies have resorted to selling their assets to reduce debt. The sectors range from airprt, cement, power, roads and steel. The major companies which have been deleveraging by selling assets include, the GMR Group, GVK Group, Jaypee group, Lanco, and Reliance Infra among others.