INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Shares of JBF Industries hit upper circuit limit of 5 per cent on BSE after the KKR Jupiter Advisors agreed to buy out a 100 per
cent stake in the company's arm JBF Petrochemicals.
"The total debt of $464 million in JBF Petrochemicals will now no longer be consolidated
in the accounts of JBF Industries
This will eliminate all contingent liabilities in the form of guarantees provided to the lenders of the PTA project for a loan of $464
million and interest thereon
The financial closure of JBF Petrochemicals is scheduled by September 30," the company said in a BSE filing on Monday
This apart, an amount of Rs 450 crore will be returned by JBF Petrochemicals to JBF Industries, in settlement of the Inter Corporate
Deposit provided by JBF Industries
The funds will be used for repayment of debt (in part) to banks and balance for working capital.
Prime Securities and Valueline Advisors
were the investment bankers for the deal with KKR and were joint advisors along with BoB capital Markets for the drafting of its debt
restructuring of JBF Industries, the company said in its press release.
At 03:09 pm, the stock was trading at Rs 41.05 apiece on BSE.
