Tata Steel has completed a major share acquisition, purchasing equity worth USD 625.75 million in TSHP. This substantial investment marks a significant corporate transaction for the steel manufacturing giant.

Investment Details

The share purchase represents a considerable financial commitment by the company, with the total investment value reaching USD 625.75 million. The acquisition involves shares in TSHP, though specific details about the percentage stake acquired or the strategic rationale behind the investment have not been disclosed.

Strategic Implications

This acquisition demonstrates Tata Steel's active approach to corporate investments and potential expansion strategies. The significant monetary value of the transaction indicates the strategic importance of this investment for the company's future operations and market positioning.

The completion of this share purchase adds to Tata Steel's portfolio of corporate investments, potentially strengthening its operational capabilities or market reach through its stake in TSHP.

Tata Steel Limited has successfully completed a significant acquisition in the pellets business, purchasing a controlling stake in Thriveni Pellets Private Limited for ₹635.13 crore. The transaction was finalized following regulatory approval from the Competition Commission of India.

Acquisition Details

The steel major acquired 90,06,801 equity shares of face value ₹10 each, representing a 50.01% equity stake in Thriveni Pellets Private Limited (TPPL). The shares were purchased from Thriveni Earthmovers Private Limited for a total consideration of ₹635.13 crore.

Regulatory Approval and Timeline

The acquisition received crucial approval from the Competition Commission of India, clearing the path for completion. This regulatory clearance was essential for the transaction, which demonstrates Tata Steel's strategic expansion in the pellets segment.

Ownership Structure and Subsidiaries

Following the completion of this acquisition, Tata Steel now holds direct control of 50.01% in TPPL, while Llyods Metals & Energy Limited continues to hold the remaining 49.99% stake. The transaction also provides Tata Steel with indirect control over Brahmani River Pellets Private Limited (BRPL), as TPPL maintains 100% equity ownership in BRPL.

Corporate Compliance

Both TPPL and BRPL have now become subsidiaries of Tata Steel Limited following the completion of this acquisition. 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, as amended.

The announcement was signed by Parvatheesam Kanchinadham, Company Secretary and Chief Legal Officer of Tata Steel Limited, and communicated to both BSE Limited and National Stock Exchange of India Limited.