ICICI Bank-led consortium concludes largest asset resolution

Mumbai, June 29 (IANS) ICICI Bank on Thursday said that a bankers consortium concluded the largest asset resolution with the sale process of the cement business of Jaiprakash Associates and Jaypee Cement to UltraTech Cement valued at Rs 16,189 crore.

"Today the sale process of the cement business of Jaiprakash Associates Ltd (JAL) and Jaypee Cement Corporation Limited (JCCL) to UltraTech Cement Ltd. has been concluded. This transaction is valued at Rs. 16,189 crore," ICICI Bank said here in a statement. 

With this sale, part of the debt of JAL and JCCL has been transferred from a stressed account to a AAA rated company, it said. 

Chanda Kochhar, MD and CEO, ICICI Bank said, "I welcome the completion of the sale of the cement business of JAL and JCCL to UltraTech Cement. ICICI Bank, as the lead bank, has played a significant role in this sale process."

"This is the largest asset resolution in the country so far and I hope that this landmark transaction will pave the way for more such resolutions. It is also heartening to note that this is the largest transaction in India's cement industry, thus far," Kochhar said.

The decision to sell the cement business to reduce JAL and JCCL's debt was taken more than a year ago.