Tata Steel joins race for Usha Martin with a Rs. 6,000 crore offer
11 June 2018
Tata Steel has joined the race for the sale of Usha Martin's steel facility in Jamshedpur with a Rs 6,000 crore offer, according to a report in the Business Line.
The Kolkata-based company is selling its steel facility in order to pare the debt on its books which stood at Rs 3,723 crores at the end of March 2018.
Tata steel will lock horns for the procurement of the plant with JSW steel which has reportedly offered Rs. 5,500 crore.
Both, Tata and JSW Steel are currently lining up to buy Bushan Steel.
Usha Martin facility has a capacity of 1 million tonnes and the speaciality steel business consists of a fully-integrated steel plant with captive iron ore and coal mines and produces wire rods and bars that feeds the company’s wire rope business as well as finds use in forging applications, automobiles and engineering industries.
A plant in Jamshedpur, where Tata already has its parent facility will help the Tata group company enhane its profits.
Steel business in India is looking to make most of the anticipated high demand growth that the world will be witnessing with India leading the pack after China.