The UK steel industry is struggling for survival in the face of extremely challenging market conditions.
Aiming to revive its loss-making long-product business in Europe, Tata Steel on Friday said it plans to invest 400 million over five years, shut or mothball parts of Scunthrope plant and slash 1,500 jobs in England.
The board of Tata Steel, which will enter an open bidding war with Brazil's CSN for Corus on Tuesday, met in Mumbai presumably to discuss the strategy for the auction and also consider the quarterly results.
Tata Steel plans to invest nearly Rs. 600 crores on limestone deposits in Oman.
There was an acceptable domestic performance in India but there continues to be concerns about the Europe business and that overshadows the local performance. The consolidated revenues for the Q2FY24 stood at Rs 55,682 crore with an operating profit of Rs 4,315 crore and an operating profit margin of 8 per cent.
UK's largest union Unite warned Tata against ducking its promises and conducting a 'fire sale' of its specialty steel business
Needs funds for Odisha plant expansion, to cut high debt.
The British government has been under pressure to help a sale process go through after Tata said it would sell its British business.
The proposed changes in Long Products business will predominately affect management and administrative functions at sites in Scunthorpe, Teesside and Workington.
It plans to lower employment costs with the estimated reduction in employee numbers, about two-thirds of which are expected to be office-based white-collar roles - a majority expected at its Netherlands unit.
Tata Steel's arm here said it had got $130 million as final settlement from the consortium of global steel buyers which had prematurely terminated, in May 2009, a 10-year purchase contract.
Tata Steel has appointed Uday Kumar Chaturvedi as MD of Corus Strip Products UK. It has also made two other changes in the top management of Corus.
Tata Steel has warned its suppliers that if they do not slash prices by up to 30 per cent in the long term then they risk losing the steel giant's business.
Overall, Tata Steel becomes the seventh non-financial firm, including four oil PSUs to report quarterly revenues of Rs 50,000 crore.
Credited with turning around Tata Steel in the 1990s, J J Irani has stepped down on turning 75, from the company Board, bringing to an end his 43 years of association with the world's seventh largest steel making company.
'The UK is more of a structural problem, and that's why we're doing the restructuring.'
Britain's traditionally anti-EU media have blamed Brussels for preventing London from taking greater steps to protect the industry.
'The steel industry has a multiplier effect on direct and indirect employment, national security on the supply chain, technology access etc.'
Clark's predecessor Sajid Javid had pledged to help Tata Steel UK with a proposed package of measures and new British PM Theresa May is reportedly supportive of the plan
In March, Tata Steel announced its intention to sell the entire 10.5 million-tonne UK assets.
Tata Sons chairman N Chandrasekaran has been conferred Honorary Knighthood by the United Kingdom for his services to the UK-India business relations, the group said on Friday. He has been conferred "The Most Excellent Order of the British Empire (Civil Division) - honorary DBE/KBE".
The bank has agreed to provide up to $1 billion to Tata Steel's special purpose vehicle, Tata Steel UK, to refinance $7.2 billion of bridge loans taken for the biggest buyout by an Indian company.
Move follows Tata Steel decision to sell its loss-making businesses in Britain
'As Tata Steel we will obviously use group-level leverage to make progress where we want.'
Jamshed J Irani, known as the steel man of India, died in Jamshedpur late Monday night, Tata Steel said. He was 86. "The Steel Man of India passes away. It is with profound grief that Tata Steel informs of the demise of Padma Bhushan Dr Jamshed J Irani," Tata Steel said in a statement. He passed away on October 31, 2022 at 10 PM at TMH (Tata Hospital) in Jamshedpur, it said.
Tata group company Tata Steel will issue equity shares on a rights and preferential basis to raise about Rs 10,000 crore (Rs 100 billion) to repay 'bridge loans' raised for funding acquisition of British steel behemoth Corus. The issue will close on December 21, a spokesperson said, adding that the record date for the issue was November 7.
The Anglo-Dutch merger was meant to revive the ailing British Steel which had incurred a net loss of 81 million in the year ended March 31, 1999
Industrial metals (ferrous and non-ferrous) suffered great volatility once the Ukraine War began in February 2022. First, there was a sharp price rise due to fears of supply disruption, followed by weak global demand. China's weakness and rolling lockdowns have hit production and demand.
Sanjeev Gupta of Liberty House, a global supplier of metals and engineering solutions, who has emerged front-runner for a number of stressed companies, plans to fund a string of companies through a mix of equity and debt.
Noel Tata -- the half-brother of late Rata Tata -- who takes over as chairman of Tata Trusts, has been with the Tata Group for over four decades, slowly rising through the ranks in the salt-to-software conglomerate. Having functioned mostly under the shadows of his illustrious half-brother, Noel (67) will now have the responsibility of leading the Tata Trusts -- broadly comprising Sir Ratan Tata Trust & Allied Trusts, and Sir Dorabji Tata Trust & Allied Trusts -- that hold a controlling 66 per cent stake in Tata Sons, the holding and promoter firm of Tata Group companies.
With the Tatas agreeing to sell its Scunthorpe steel plant in the UK to investment firm Greybull for a nominal one pound, the storied 'British Steel' name will be back in the now-ailing industry.
'It's an open secret that the UK business is structurally not in a great place.'
'The biggest impact will be on coal and hence on power cost. Then comes iron ore, coking coal, bauxite.'
From the Sensex firms, Trent, Tech Mahindra, Bajaj Finserv, Reliance Industries, Infosys, Kotak Mahindra Bank, HCL Technologies, and NTPC were among the biggest laggards. However, Eternal, Tata Motors, Sun Pharma, Tata Steel, and Titan were the gainers.
Equity benchmark indices Sensex and Nifty ended lower on Thursday after US President Donald Trump announced the imposition of a 25 per cent tariff on all goods coming from India starting August 1 and an unspecified penalty for buying Russian crude oil and military equipment.
The British government has said it was "not prepared" to accept an announcement by Tata Steel and its European subsidiary, Corus, that there seemed no option but to indefinitely suspend operations at one of the latter's factories in north-east England, which means loss of around 2,000 jobs.
The London Commercial court has granted Tata Sons a period of 23 days, starting July 27th 2016, to apply to set aside the exparte order
'Ratan had the quality that JRD and Russi Mody had -- they could walk with kings and never lose the common touch.'
The $12.1 billion Corus acquisition-the biggest global acquisition made by an Indian company-ended up as a millstone around Tata Steel's neck, points out Indrajit Gupta.
The UK Takeover Panel has initiated discussions with the two suitors for Anglo-Dutch steelmaker Corus Group -- Tata Steel and CSN of Brazil -- to lay down the process for selecting the winner.
