JSW Energy may acquire 74% stake in Monnet Power: Sources

As per sources, JSW Energy is likely to acquire 74 percent stake in Monnet Power. In July this year, JSW Energy and Monnet Ispat had signed a non-binding Memorandum of Understanding (MoU) to acquire Monnet Power. CNBC-TV18’s Prerna Baruah reports that the IDFC-led consortium is likely to take over 26 percent stake in Monnet Power. The lenders might be in talks to take strategic debt restructuring (SDR) route in order to convert Monnet Power’s outstanding debt, which is estimated to be over Rs 5,000 crore.JSW may look at servicing the outstanding debt of the Monnet Power post its deal. The former alongwith lenders might infuse Rs 2,000 crore into the latter post completion of its Odisha project. JSW Energy informed the channel that they are presently conducting the due diligence of the Orissa project and are yet to take any call on the proposed acquisition.