As part of the deal, a unit of Tata Steel is paying 352.33 billion rupees ($5.18 billion) to Bhushan Steel’s creditor banks. It will also pay Bhushan Steel’s operational creditors, such as vendors, another 12 billion rupees over 12 months. The Tata Steel unit will raise a bridge loan of 165 billion rupees to help fund the acquisition, while Tata Steel is investing the remainder in the unit, Bamnipal Steel. Bamnipal has appointed members to Bhushan Steel’s board, Tata Steel said in a statement. Taking over Bhushan Steel will help Tata Steel to increase its capacity in India and gain an edge in the fast-growing automotive steel market.

Source: bd News24 May 19, 2018 03:22 UTC