Tata Steel Mining all set to acquire Rohit Ferro-Tech
Tata Steel Mining Ltd (TSML), a wholly-owned subsidiary of Tata Steel Limited, announced that it is the successful resolution applicant for Kolkata-based ferrochrome maker Rohit Ferro-Tech Ltd (RFT).
Kolkata, West Bengal
Tata Steel Mining Ltd (TSML), a wholly-owned subsidiary of Tata Steel Limited, is all set to takeover the Kolkata-based ferrochrome maker Rohit Ferro-Tech Ltd (RFT) after the Committee of Creditors (CoC) of Rohit Ferro-Tech approved the resolution plan of TSML to acquire RFT. CoC has received and accepted the letter of intent (LOI) for the acquisition. It will be implemented after receiving requisite approvals from the National Company Law Tribunal (NCLT). TSML will acquire three ferrochrome plants of RFT along with a stainless-steel unit.
Ten bidders, including Vedanta Ltd and Jindal Stainless, were vying for the assets of the company – three ferrochrome plants, one in Odisha and the others in West Bengal, and a stainless-steel unit in Bengal.
TSML is the designated anchor company to carry out the commercial mining activity of Tata Steel Group. It is one of the four business verticals to drive scale and synergy of operations. After the RFT acquisition, TSML will be able to double its ferrochrome manufacturing capacity to 900,000 tonnes a year.
Tata Steel Mining Ltd.’s ferrochrome plants are located in Athagarh and Gopalpur in Odisha. It also has three chromite mines – Sukinda, Kamarda and Saruabil – in the Jajpur district of Odisha. RFT has ferrochrome plants in Jajpur in Odisha, Bishnupur and Haldia in West Bengal and a stainless-steel plant in Bishnupur.
Source – The Telegraph