Tata Steel Ltd acquires further shares in Neelachal Ispat Nigam Ltd

Tata Steel Limited ('Company') has, on February 21, 2023, acquired 4,68,75,000 equity shares of ₹10/- each at a premium of ₹54/- per share, of Neelachal Ispat Nigam Limited ('NINL'), an unlisted indirect subsidiary of the Company, for an amount aggregating to ₹300 crore (hereinafter referred to as the 'Transaction'), being Tranche 1 of the investment in the equity shares of NINL.

Neelachal Ispat Nigam Limited ('NINL') is an unlisted indirect subsidiary of Tata Steel Limited ('Company'). NINL has a 1.1 MTPA integrated iron and steel plant at Kalinganagar Odisha, along with iron ore mines with a reserve of ~90 MT.

The Company has subscribed to 4,68,75,000 equity shares of NINL aggregating to ₹300 crore, being Tranche 1 of the investment in the equity shares of NINL.

The proposed funding will be utilized towards the working capital and capex requirement of NINL including start-up of iron and steel plant at Kalinganagar, repayment / prepayment of liabilities and for other general corporate purposes.

Source : Equity Bulls

Keywords

TataSteel Investment NeelachalIspatNigam