ACRE Completes Debt Resolution Of Jayaswal Neco Industries

Assets Care and Reconstruction Enterprise (ACRE), on Thursday, said that it has exited from its investment in Jayaswal Neco Industries (JNIL).

Post this, the debt has been re-paid and ACRE continues to retain a 26 per cent equity stake in JNIL.

The company said in a statement that it aggregated 100 per cent of the debt of JNIL with a cash investment of ~Rs 2,700 crore and subsequently restructured the debt, resulting in a recovery of more than Rs 5,600 crore over five years.

Neeta Mukerji, CEO of ACRE, said, "The successful debt resolution and recovery in JNIL is a testament to ACRE's expertise in resolving large stressed assets in India. It is one of the largest cash deals in the ARC space and also the one of the largest resolutions outside NCLT.”

Jayaswal Neco Industries is a player in the auto-grade steel segment catering to commercial vehicles. It owns and operates a 1 MTPA fully integrated steel plant in Chhattisgarh and is listed on both the NSE and BSE with a market cap of ~ Rs 5,000 crore.