Tata Steel Long Products accepts DIPAM’s LoA for NINL acquisition

Tata Steel Long Products said that it has accepted the letter of award (LoA) issued by the Indian government’s Department of Investment and Public Asset Management (DIPAM) pertaining to the acquisition of a 93.71% stake in Neelachal Ispat Nigam Limited (NINL).

The consideration for the stake in Neelachal Ispat Nigam Limited is INR 12,100 crores.

Recently, the Tata Steel subsidiary had prevailed in the bidding process conducted by DIPAM for the stake in the holding company for the 1.1-million-ton integrated iron and steel plant in Kalinganagar, Odisha.

Tata Steel to acquire 93.7% stake in Neelachal Ispat Nigam for Rs 12,100cr. Photo courtesy of Tata Steel.

According to Tata Steel Long Products, the process for acquiring the stake in Neelachal Ispat Nigam Limited is expected to be wrapped up within the next two months in accordance with the timelines revealed by DIPAM.