ArcelorMittal emerged as the sole-bidder for Essar Group firm, EPC Constructions India Ltd, with a bid of ₹500 crore, against outstanding loans of ₹7,268 crore, said two bankers aware of the bid.
The first banker, requesting anonymity, said that the company has also promised to bring some equity into EPC Constructions if they win the bid, but lenders were not happy with the offer and want more cash upfront. “A discount of above 90% is not acceptable to them.”
An email sent to ArcelorMittal did not elicit any response till publishing of this story.
This is the second Essar Group company, after Essar Steel, that ArcelorMittal is eager to buy. A wholly-owned subsidiary of Essar Projects Dubai, EPC Constructions (formerly Essar Projects India Ltd) is involved in building infrastructure projects, power plants and refineries, among others. Read More