In its appeal, Sahara has staked its claim for Rs2,000 crore, the original price for the buyout. It said the court had erred in holding that Jet Airways was liable to pay the renegotiated amount of Rs1,450 crore
Mumbai: The Bombay High Court today admitted an appeal filed by Sahara India challenging its earlier single-bench order which had held that Jet Airways was liable to pay Rs1,450 crore for the purchase of Sahara Airlines (now Jetlite) in 2007, reports PTI.
Sahara's appeal was admitted by a division bench of chief justice Mohit Shah and justice Girish Godbole who fixed the matter for hearing on 19th July.
In the appeal, Sahara has staked its claim for Rs2,000 crore, the original price for the buyout. It said the court had erred in holding that Jet Airways was liable to pay the renegotiated amount of Rs1,450 crore.
Sahara had earlier sought a stay on the order passed by justice DY Chandrachud on 5th May. The judge had asked Jet Airways to pay the remaining amount of Rs478 crore (from the purchase price of Rs1,450 crore) within two weeks to Sahara for the buyout.
The Rs478 crore comprises interest accrued at the rate of 9%, as ordered by the judge, on the initial pending amount of Rs402 crore.
Sahara has pleaded in the appeal that the 9% interest was less and that it should get more. After the deal was signed, Jet had paid Rs900 crore to Sahara and agreed to pay the remaining amount in four instalments from 2008.
The Income Tax department had earlier slapped a notice of Rs107 crore on Sahara. While Jet said Sahara was liable to pay this amount as it pertained to period before acquisition of the airline, Sahara argued it was not liable to pay for it.
On account of the I-T notice, Jet deducted Rs37 crore and Rs50 crore, respectively, from the two instalments it paid to the Lucknow-based corporate group.
Gitanjali Gems has acquired DIT Group SpA, which owns brands like Stefan Hafner, for $11 million
Leading jewellery brand Gitanjali Gems said it has acquired Italy-based jewellery firm DIT Group SpA, which owns brands like Stefan Hafner, for $11 million.
“We have acquired DIT Group Spa for $11 million,” Gitanjali Gems managing director Mehul Choksi told PTI.
DIT, a unit of Dubai-based jewellery group Damas International, had filed for bankruptcy and was under liquidation process with Civil Court of Alessandria in Italy.
“The liquidation process has been completed and we have got permission to officially acquire the assets of DIT Group Spa,” he said.
“Along with DIT Group Spa, Gitanjali has acquired its operating vehicle ‘BLU Srl’, which was set up to help the four brands [Stefan Hafner, IO Si, Roberta Porrati, and Nouvelle Bague] keep working when DIT had sought to restructure debt,” he said.
Choksi further said that there is good brand equity of these brands in Italy and the takeover of the company will help Gitanjali with DIT’s Italian techniques and creativity for high-end products.
Gitanjali has brands such as Nakshatra, Asmi, Gilli and D’Damas.
On Tuesday, Gitanjali Gems ended 1.64% up at Rs297.85 on the Bombay Stock Exchange, while the benchmark Sensex gained 0.23% to 18,308.66.
Sezal Glass will invest Rs686 crore to expand its business and venture into new and related businesses
Sezal Glass, which will receive Rs686 crore from sale proceeds of its float glass manufacturing unit to Saint-Gobain Glass India, will use the funds to expand its existing business and venture into new and related businesses.
Last week, it announced the sale of float glass business along with its Gujarat-based manufacturing unit to Saint-Gobain Glass India for a consideration of Rs686 crore.
“The funds realised from the transaction have been used by the company towards clearing all the bank debts first. The balance will be utilised for expanding its existing value added glass business, as well as venturing into new and related businesses through both organic and inorganic routes,” Sezal chairman and managing director Amrrut S Gada said in a statement.
With the sale proceeds, the company will be 100% debt-free with reserves to fund the growth, he said.
Saint-Gobain Glass India is a 100% subsidiary of the France-based Compagnie de Saint Gobain. The binding business transfer agreement was executed between the parties on 31 May 2011, a company statement said.
The sale was approved by the company’s shareholders by postal ballot. The manufacturing plant with a capacity of 550 tonne per day of float glass is of the caliber and technical know-how on par with any international glass manufacturer of repute, company said.
As a part of the overall transaction, Sezal Glass and its principal promoters have undertaken non-compete obligations with respect to the float glass business in India with “Saint Gobain” for a period of five years.
The promoters have not received any separate non-compete fee from Saint Gobain and the entire sale consideration has been received by the company, Gada said.
PricewaterhouseCoopers were the Financial Advisors and SH Bathiya & Associates acted as the corporate advisors to Sezal Glass in this transaction.
Sezal Glass is a leading player in the architectural glass processing business in India. Apart from the float glass manufacturing business which has now been sold to Saint-Gobain Glass India, the company is a major player in the processing business.
On Tuesday, Sezal Glass ended 0.74% down at Rs4 on the Bombay Stock Exchange, while the benchmark Sensex gained 0.23% to 18,308.66.