Sembcorp Industries (Sembcorp) will buy out Gayatri Energy Ventures Pvt Ltd’s (GEVPL’s) stake in Sembcorp Energy India Ltd (SEIL). The proposed acquisition is expected to be completed by the end of the year.
A company statement said Sembcorp Utilities has entered into a non-binding term sheet with its local Indian partner, GEVPL, a wholly-owned subsidiary of Gayatri Projects Ltd (GPL), to acquire the remaining 5.95 per cent stake in SEIL. After the completion of the proposed acquisition, Sembcorp will become the sole owner of SEIL.
The shares are being purchased for about ₹406 crore in cash, and is based on discounted cash flows and relevant transaction multiples.