The sale of assets may help cut debt rising debts
India-based Jaypee group, which is all set to sell its cement unit for INE 21,000 crore enterprise valuations, may have to sell other assets to retire its INR 75,000 crore debt, reports Business Standard.
The lenders are worried about the group’s repayment capacity want Japee to sell assets like real estate and a stake in Yamuna Expressway soon after the cement unit sale.
The sale of cement is expected to be completed by March. Private equity firm, KKR, Aditya Birla’s UltraTech, Dalmia Cement and JSW Cement are among the bidders for Jaypee's cement units – which are scattered all over north India.
The company blamed the worsening performance of core sectors and a shaky economy for the fall in its financial metrics.