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Debt-laden GTL Ltd has initiated a process to sell its Operations, Maintenance & Energy Management (OME) business to E2 Energy Services Pvt Ltd for ₹850 crore. The infrastructure services firm will use the proceeds to pay its lenders.
“This forms part of the larger effort by the company whereby it has proposed a one-time settlement offer to the lenders, which envisages the sale of its assets, investments in order to repay its dues,” said a GTL filing.
The aggregate consideration of ₹850 crore is subject to certain working capital adjustments, costs and charges.
GTL had obtained shareholder approval on September 25 to sell its businesses, and on Wednesday it got the nod for selling the OME business, too.
E2 Energy or Essential Energy is a wholly-owned Indian arm of UK-based Intelligent Energy. The unit was set up to address the gap between supply and demand of energy in the country, according to the Bengaluru-headquartered company’s website.
Part of Manoj Tirodkar-controlled Global Group, GTL had run into debt and entered the Corporate Debt Restructuring programme in 2011, post the telecom sector turmoil.
GTL shares ended up 4.82 per cent at ₹11.74 on the BSE.
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