JSW Infrastructure To Buy Stake In Navkar Corp For Rs 1,012 Crore
The acquisition will result in its foray into logistics and other value-added services, JSW Infrastructure added
JSW Infrastructure Ltd. on Thursday said it will acquire 70.37% shareholding in Navkar Corp. for around Rs 1,012 crore, paving the way for its foray into the logistics industry.
The company has entered into a share purchase agreement with certain promoters and members of the promoter group of Navkar Corp. to acquire 10.59 crore equity shares, constituting 70.37% of Target’s total equity share capital, at a price of Rs 95.61 per share, according to a filing by JSW Infrastructure.
"JSW Infrastructure through its wholly owned subsidiary JSW Port Logistics has agreed to acquire 70.37% shareholding held by promoters and promoter group in Navkar," it said.
JSW Port will discharge its payment obligations under the proposed transaction by way of cash consideration, the filing said.
Following this, the company will launch an open offer at a price of Rs 105.32 per share to buy an additional 26% stake from public shareholders at a total cost of around 413 crore, the filing stated.
"Pursuant to the Open Offer, assuming the entire 26% is validly tendered and accepted in the Open Offer, JSW Port will acquire 3.91 crore equity shares, constituting 26% of the Target’s total equity share capital," the filing stated.
The acquisition will result in its foray into logistics and other value-added services, the company added. JSW Infrastructure, a part of JSW Group, is India's second-largest private commercial port operator.
Navkar Corp. is engaged in the logistics and cargo transit service industry. It reported a turnover of Rs 434.87 crore for financial year 2023-24.
