JSW Steel Ltd (JSW), Jindal Steel and Power Ltd (JSPL) and Aditya Birla Group unit Essel Mining and Industries Ltd are considering the possibility of jointly bidding for the Indian assets of debt-laden UK steel trader Stemcor Holdings Ltd, two people familiar with the development said. Stemcor, burdened by $1.25 billion of debt, is looking at the possibility of selling its Indian assets, comprising an iron ore pellet plant and stakes in iron ore mines in Odisha. The initial deal valuation of $1 billion for Stemcor’s assets, mentioned by investment bankers, is now being pared down owing to concerns over the likelihood of stern action against illegal mining in Odisha on the lines of Karnataka and Goa. (Live Miint) 

AG approves HZL stake sale auction: The Attorney General has cleared the way for the Union government to divest its residual stake in Hindustan Zinc Ltd through an auction, saying it was no longer a public sector company, according to official sources. The government's 29.5 per cent stake in the company is worth Rs 16,000 crore ($2.6 billion) at the current market valuation. The value is expected to be higher in the auction as the company is sitting on cash reserves of Rs 23,632 crore and is the most profitable in the Vedanta group stable. Hindustan Zinc has ceased to be a government company for almost a decade. (Business Standard) 

Singapore's Sembcorp to take 65% in Nagarjuna's power biz: Singaporean power giant Sembcorp Industries is close to sealing a deal with Hyderabad-based Nagarjuna Construction Company (NCC) to pick up a 65% in the latter's power business. The deal, pegged at $250 million (about Rs 1,525 crore) and expected to be signed this week, will be one of the biggest in the sector. While it will get 70 per cent of its coal requirement from domestic sources, the rest will have to be imported. Mahanadi Coalfields, a subsidiary of Coal India, will supply coal to this project. NCC owns a 55% stake in the project, while the rest is owned by Gayatri Projects, another Hyderabad-based company. Gayatri bought this stake in 2011 and is expected to remain invested in the project. (Business Standard) 

SPIC plans to sell tissue culture business: Southern Petrochemicals Industries Corporation (SPIC) Limited is planning to exit from the business of production and sale of tissue culture by selling the business. The company has today informed the National Stock Exchange that the Board of Directors of the Company has in-principle "approved the proposal of exiting from the business of production and sale of Tissue Culture by sale. The company has earlier discontinued operations at its pharmaceutical formulations manufacturing unit in Tamil Nadu. (Business Standard)

Courtesy: VCCEdge

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