ISMT Limited to sell 40MW captive power plant to Omsairam Steels and Alloys

Maharashtra-based ISMT Limited has signed a business transfer agreement for divesting a 40MW captive power plant on a slump sale basis to Omsairam Steels and Alloys Private Limited for INR 65.71 crores.

Omsairam Steels and Alloys, which manufactures TMT bars and billets, has a registered office in Pune. On the other hand, ISMT Limited manufactures steel, alloys, and metal tubes.

The captive power plant has been non-operational since April 2014.

ISMT Limited stated: “The sale of CPP will strengthen the Balance Sheet/ financial position of the Company as CPP is non operational and will also help reduce the annual operating cost that is incurred by the Company to keep CPP in working condition.”

The deal is expected to close in late February 2023.