Miglani Group Acquires 24.5% Stake In Lloyds Steel For R190Cr
by Irfan Khan
Miglani family, co-owners of Uttam Galva Steel is acquiring 24.5% stake in Lloyds Steel for R190Cr. The shares were bought through it's two group entities - Ultimate Logistics Solutions Pvt Ltd and Siddharth Holdings Pvt. Ltd.
Both the entities are owned by Ankit Miglani.
Lloyds Steel is also issuing 4,92,61,802 equity shares to SBI against part conversion of it's existing loan.
According to DNA, Lloyds currently requires close to R600Cr of working capital to run its steel plant and its cash flows cannot complement its need. The whole exercise of issuing equity shares will help the company raise close to R227Cr.