Tata Steel has successfully completed the acquisition of a 99.99% equity stake in Tata BlueScope Steel Private Limited for ₹1,099.97 crore on December 31, 2025. The transaction, which received prior regulatory approval from the Competition Commission of India (CCI), transforms the former joint venture into an indirect subsidiary of Tata Steel.

Transaction Details

The steel major acquired 43,29,90,000 equity shares with a face value of ₹10 each from BlueScope Steel Asia Holdings Pty Ltd, as per the Share Purchase Agreement executed on November 12, 2025. This acquisition represents the completion of Tata Steel's strategic move to gain complete control over the joint venture entity.

Joint Venture Background

Tata BlueScope Steel was previously operated as a 50:50 joint venture between Tata Steel Limited through its wholly owned subsidiary Tata Steel Downstream Products Limited and BlueScope Steel Limited through BlueScope Steel Asia Holdings Pty Ltd. The acquisition effectively consolidates Tata Steel's control over the entity's operations and strategic direction.

Regulatory Compliance

The company has made this disclosure in compliance with Regulations 30 and 51 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The transaction follows the earlier CCI approval that cleared regulatory hurdles for the acquisition.

Strategic Impact

With Tata BlueScope Steel now functioning as an indirect subsidiary, Tata Steel gains enhanced operational flexibility and complete strategic control over the entity's business operations. This consolidation aligns with the company's broader corporate restructuring initiatives and strengthens its position in the steel sector through improved operational synergies and streamlined decision-making processes.

Tata Steel has secured a significant victory in a GST compensation cess dispute, with authorities setting aside the entire tax demand of ₹161.52 crores and imposing no penalty on the company.

Favourable GST Order Details

Tata Steel received a favourable order from the Joint Commissioner of CGST Central Excise, Jamshedpur, Jharkhand. The order provides complete relief to the company in a compensation cess matter that had been under adjudication.

Background of the Case

The dispute originated from a show cause notice issued by the Directorate General of GST Intelligence, Regional Unit, Jamshedpur. The notice was issued against erstwhile Tata Steel Long Products Limited (TSLP), which amalgamated with Tata Steel effective November 15, 2023, through a scheme of amalgamation.

The GST authorities had raised concerns about input tax credit compensation cess amounting to ₹161.52 crores allegedly irregularly availed by TSLP during April 2019 through February 2024. The show cause notice also questioned:

• Input tax credit of compensation cess amounting to ₹160.28 crores claimed to be already reversed/deposited via GSTR-3B returns of December 2022 and August 2023
• Potential penalty of ₹161.52 crores on the company

Authority's Decision

The Joint Commissioner took cognizance of the fact that Tata Steel had already paid the necessary GST amount of ₹160.28 crores while filing its GST returns. This amount was appropriated to the government exchequer. Additionally, the balance tax demand of ₹1.23 crores was dropped by the authority.

Regulatory Compliance

Tata Steel made this disclosure in compliance with Regulations 30 and 51 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company had previously disclosed the receipt of the show cause notice and has now updated stakeholders following the management's evaluation of the favourable order.

This resolution eliminates a significant contingent liability for Tata Steel and provides clarity on the GST compensation cess matter related to its amalgamated entity.