Jindal Saw sets up 3 new biz; looks at infra, transport, fabrication

New Delhi, Feb 26 (UNI) Jindal Saw Ltd today said it has plans to set up three distinct lines of business spanning infrastructure, transportation and fabrication and has formed a subsidiary, Jindal ITF Ltd.

''The company has firmed up plans to set up three distinct lines of business spanning infrastructure (water transportation infrastructure and power generation); transportation (inland and coastal waterways transportation and rail transportation); and fabrication (shipbuilding and shipyards),'' the company said in a statement.

With this objective, the company has formed a subsidiary, Jindal ITF Ltd, with the main objective of investing in the infrastructure-related businesses.

''These businesses will further be operated through separate companies with equity investment to be made by Jindal ITF Ltd,'' it said.

To meet the equity investment requirements of these new businesses, the company plans to allot the warrants/Compulsorily Convertible Debentures (CCDs) on preferential basis.

It proposes to issue about 26,00,000 warrants and 27,30,000 CCDs.

''Assuming full conversion of FCCB in time to come, the promoter's stake in Jindal Saw Ltd shall be about 45.9 per cent,'' it said.

The allotment/conversion process shall be completed by September 2009, it added.

UNI MP SR ND1702