JSW Cement has signed a Securities Purchase Agreement (SPA) with Nuvoco Vistas Corporation to sell its entire stake in Algebra Endeavour. The agreement, signed on Tuesday, November 17, also involves Alpha Alternatives Holdings, which is the second seller in the transaction.
Nuvoco to acquire 100% stake in Algebra Endeavour
According to the regulatory filing by JSW cement, the deal is valued at Rs 1,91,63,01,956, which will be paid as cash consideration. The transaction will be completed within 10 days from the fulfilment of all conditions precedent listed in the agreement.
The company said the division does not contribute to its turnover, income or net worth. The SPA covers the transfer of 100% of Algebra Endeavour’s securities held by both sellers to Nuvoco Vistas.
The company confirmed that the deal is not categorised as a slump sale.
Nuvoco to take full control of Algebra Endeavour
After acquisition, Algebra will become a wholly owned subsidiary of Nuvoco and will therefore be classified as a related party. Algebra Endeavour is engaged in advisory and investment activities and, through its wholly owned subsidiary Vadraj Energy (Gujarat), owns power plants in Kutch and Surat. Nuvoco said these power facilities will be used for the company’s captive power consumption.
Share price of JSW Cement
The share price JSW Cement has declined nearly 13.04% so far this year on BSE.
