In an order to reduce its leverage ratio, Jindal Steel & Power (JSPL) is reportedly in discussion to offload 15% stake in itself to Japan's Yamato Steel for Rs 2,500 crore. The company is expecting to reach an agreement with banks on a debt recast for its steel business this month.
Indian companies with a Japanese stake of 10% or more get preference in raw material and execution contracts for the $90 billion Delhi-Mumbai freight corridor being built with the aid of Japanese banks and multilateral funding institutions.
JSPL is a part of Jindal Group and is a leading player in Steel, Power, Mining, Oil & Gas and Infrastructure. The company produces economical and efficient steel and power through backward integration from its own captive coal and iron-ore mines and passes on the benefits to its customers.