The Financial Express 28 May 2012
New Delhi: Jindal Steel and Power will acquire a little over 10 per cent stake in Gujarat NRE Coal’s Australian subsidiary, Gujarat NRE Coking Coal Ltd, for AUD 25 million (about Rs 135 crore). Besides, JSPL will also buy 5 million tonnes of coking coal over a 10-year period from the Australian subsidiary of the Kolkata-based firm, Gujarat NRE said in a filing to the BSE.
“Gujarat NRE Coking Coal Ltd is pleased to announce that it has entered into an Option Off Take agreement with Jindal Steel and Power (JSPL) and would also make a placement of new shares in favour of Jindal Steel and Power (Mauritius) Ltd,” it said.
As per the agreement, Gujarat NRE Coking Coal, which is listed on the Australian Securities Exchange, will sell 100,000,000 shares to JSPL at a price of AUD 0.25 per share.