Tata Steel acquires Rawmet Ferrous

Kolkata, Jan 17 (UNI) With the battle going on for Anglo-Dutch steelmaker Corus Group, Tata Steel has acquired 100 per cent equity of the Kolkata-based Rawmet Ferrous Industries.

According to an intimation to the stock exchange, Tata Steel signed an agreement with IMR Metallugrical Resources AG, 66.46 per cent stake holder of Rawmet Ferrous Limited, Rawmet Commodities, owning 12.48 per cent share and other equity holders in Bhubaneswar.

However, the amount of the deal has been kept undisclosed.

With its registered office in Kolkata, Rawmet has the 50,000-ton capacity ferro alloy plant near Cuttack.

Rawmet is poised for setting up a ferro alloy plant besides with a waste-based power plant and a coke oven battery at Anantapur village in Cuttack district involving an expenditure of Rs 326.50 crore.

Following the agreement, the board of Rawmet Ferrous Industries would have to be reconstituted for inclusion of Tata Steel representatives.

The Tata Steel scrip surged by 3.92 per cent today on the Bombay Stock Exchange (BSE) to Rs 485.70 and 3.81 per cent on the National Stock Exchange (NSE).

UNI