ICCK

Chennai-based Murugappa Group has evinced interest in taking over scam-hit CG Power and Industrial Solutions Ltd by investing around Rs 750 crore equity in the company.

Three sources with direct knowledge of the deal said the Rs 36,900-crore Murugappa Group, which also has an engineering arm, has made a non-binding offer to invest around Rs 750 crore that would give it 60-75 per cent stake in CG Power.

The investment, they said, was however linked to lenders to CG Power agreeing to debt restructuring.

The transaction is likely to conclude in July

While Murugappa Group spokesperson did not revert to emails sent for comments, CG Power Chairman Ashish Kumar Guha in reply to an email seeking comments said the company had previously disclosed to stock exchanges about the discussions it had been having for past several months towards capital infusion.