Ispat up 10% on stake sale talk
JSW is all set to buy a controlling stake of 45.5% in Ispat Industries and the announcement is expected after AGM of Ispat on Tuesday.business Updated: Dec 20, 2010 21:20 IST
JSW is all set to buy a controlling stake of 45.5% in Ispat Industries and the announcement is expected after AGM of Ispat on Tuesday.
The shares of Ispat jumped by 16% in intra-day trading on Monday before closing at R25.0 — a net gain of 10.6%.
An Ispat official on conditions of anonymity told Hindustan Times that Sajjan Jindal, vice chairman and managing director, JSW Steel, visited the Ispat plant only a couple of days ago along with Atulya Mittal, son of Vinod Mittal.
“The deal looks almost done and the announcement may come after the AGM on Tuesday,” said the official.
Share price of JSW Steel rose by 1.8% during the day to close at R1,185.5 per share.
While the size of the detail is not yet known, Ispat Industries, valued at R3,049 crore, is controlled by Pramod Mittal and Vinod Mittal, the brothers of the world’s fifth richest man, Lakshmi Mittal, who heads the world’s largest steel-maker, Arcelor Mittal.