Sterlite Industries to sell Power Transmission Line Division to SOTL

Sterlite Industries India Ltd has informed BSE that the Board of Directors of the Company at its meeting held on August 21, 2006, has considered and approved the sale of the Power Transmission Line ("PTL") division of the Company on a going concern basis to Sterlite Optical Technologies Ltd ("SOTL")- SOTL will assume all assets and associated liabilities of the PTL division for a net consideration of Rs 1485.10 million. With the divestment of this non-core business, Sterlite will continue to focus on being a primary metal producer.

An independent committee of the Board of Directors of the Company considered the valuation report of an independent valuer, Ernst and Young and recommended this transaction to the Board.

The sale is subject to consent of the shareholders of the Company and any other statutory or regulatory authorities, which by law may be necessary for effecting the above transfer.

PTL division is engaged in the business of manufacturing of power conductors and has its manufacturing facilities at Silvassa (Dadra & Nagar Haveli) and Karanjwane, Pune.

Source : Equity Bulls

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