*Essar Energy Holdings *has bought $293mn (Rs 1,300 crore) in *Essar Oil *by subscribing to *global depository shares *(GDS)
Essar Oil has $1.7-billion expansion plans of which promoters have contributed $600 million so far for modernisation and expansion of its Jamnagar refinery. The remaining $1.1 billion is being raised through financial institutions. The proposed expansion plan includes scaling up of the Jamnagar refinery capacity by 25% to 375,000 barrels and increasing its complexity from 6.1 to 11.8 by next year. Essar Energy started book building of its $2.5-billion IPO on London Stock Exchange. The company is expected to dilute upto 25% through the issue. Transaction Note T he energy business of the Essar Group comprises unlisted power company Essar Power, listed Essar Enery and a refinery in Kenya. The promoters have been allotted 606,827 GDSs equating to 92.84 mn equity shares of Rs 10 each, at a price of Rs 144 per share. The new shares account for 7.3% of post issue capital, according to the numbers available on the stock exchanges. The company needs around Rs 7,800 crore for the first stage and had said that around 4,600 crore would come from debt. -- Regards Hardik Shah -- You received this message because you are subscribed to the Google Groups ""GLOBAL SPECULATORS"" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/globalspeculators?hl=en.
