Shimla: Debt ridden Jaiprakash Associates (JAL), which has large investments in Himachal Pradesh, has put up its two troubled cement units in the state on selling block, even as it is in advanced negotiations to sell the 1000 MW Karcham Wangtoo and 300 MW Baspa hydro power plants.
To reduce its debt the group is reported to have shortlisted selling of the 2 million tom capacity Baga Balag cement plant and the 2 million ton Bagheri cement grinding unit. Taking advantage of the excise tax holiday that was applicable to Himachal then, the grinding and blending plant was commissioned in 2010.
When Jaypee Group spokesperson Askari Zaidi was contacted by Hill Post he did not rule out selling of the cement plants but said, “Our group chairman Manoj Gaur has made it publically known that the group is trying to reduce its debt by Rs 15,000 crore this fiscal. An underlying asset that fetches a good deal could be under consideration for meeting the fiscals’ debt reduction target.”
However sources revealed that Jaypee Group had already opened up negotiations with cement companies interested in expanding their foot print in North India.
Earlier in the month Jaypee Cement sold a cement plant in Gujarat to the Aditya Birla group’s Ultratech Cement for Rs 3800 Crore.
The Jaiprakash Group is also stated to be in advanced negotiations for selling the two hydropower plants to TAQA, the Abu Dhabi government company that has bought assets in many countries.