Jindal SAW Ltd, through its step-down subsidiary Jindal Tubular USA LLC, is acquiring PSL North America LLC, a US-based steel pipe making firm, for an undisclosed amount, as per a stock market disclosure. The acquisition is expected to be completed by this month.
Jindal Tubular USA has entered into an asset purchase agreement on June 16, 2014 with PSL North America for the acquisition of identified assets and liabilities of PSL North America under bankruptcy protection, the company said in a BSE filing.
“The United States Bankruptcy Court for the district of Delaware has passed an order on August 15, authorising and approving the sale of substantially all of PSL North America’s assets to Jindal Tubular in accordance with the terms of asset purchase agreement, free and fair of all liens, claims, encumbrances and other interests," it said.
PSL North America is a joint venture (JV) controlled by PSL Ltd, an Indian company based in Mumbai, with Indian and American partners. The firm manufactures high pressure steel pipe in North America. The firm's customers include natural gas pipeline companies as well as others who have different and innovative uses for the steel pipe that it produces.
New Delhi-based Jindal SAW, a part of OP Jindal Group, manufactures iron and steel pipes. It offers submerged arc welded pipes including longitudinal submerged arc welded pipes & helical seam submerged arc welded pipes, spiral pipes and bends used for energy transportation in the oil and gas sector. The company was founded in 1984.
(Edited by Joby Puthuparampil Johnson)