Tata Steel Limited (Tata Steel) has announced that Tata Steel Long Products Limited (TSLP), a subsidiary of Tata Steel, has completed the acquisition of 93.71% in 1 million tons per annum Neelachal Ispat Nigam Limited (NINL) from MMTC Ltd., NMDC Ltd., MECON Ltd., Bharat Heavy Electricals Ltd., Industrial Promotion and Investment Corporation of Odisha Ltd., Odisha Mining Corporation Ltd., President of India, Government of Odisha.
The acquisition has been completed as per the terms and conditions of the Share Sale and Purchase Agreement entered on March 10, 2022 and in accordance with the process being run by Department of Disinvestment & Public Asset Management (DIPAM). The aggregate consideration which has been paid out by TSLP is Rs. 12,100 crore, the statement said.
Located in the close proximity to Tata Steel’s state-of-the-art facility at Kalinganagar, NINL is a strategic acquisition for Tata Steel as it provides synergies of shared infrastructure, resources, management etc. and an opportunity to build a dedicated and sustainable long products complex, a statement said.
T. V. Narendran, CEO & Managing Director, Tata Steel, and Chairman, Tata Steel Long Products, said: “Acquisition of Neelachal Ispat Nigam Limited (“NINL”) is a historic achievement and a significant milestone towards building a dedicated long products facility for the Tata Steel Group. The completion of the transaction is a testimony to Government of India’s focus on its disinvestment programme. The acquisition also reflects Tata Steel’s commitment to the State of Odisha and the communities around its operations. We are delighted to welcome NINL and its employees to our family. We look forward to the support and commitment of all the stakeholders and employees. It will be Tata Steel’s endeavour to enable a swift transformation of NINL into a state-of-the-art, competitive and sustainable enterprise.”
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