Tata Steel to Merge Seven Subsidiaries For Business Consolidation

The board of Tata Steel approved the amalgamation of Tata Steel Long Products Ltd (TSL), Tinplate Co. of India Ltd, Tata Metaliks Ltd, TRF Ltd, The Indian Steel & Wire Products Ltd, Tata Steel Mining Ltd and S&T Mining Co. Ltd.

SMEStreet Edit Desk September 24, 2022Last Updated: September 24, 2022

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Tata Steel Ltd announced the merger of seven of its subsidiaries with itself, including four listed and three unlisted companies, to consolidate its operations and save costs.

The board of Tata Steel approved the amalgamation of Tata Steel Long Products Ltd (TSL), Tinplate Co. of India Ltd, Tata Metaliks Ltd, TRF Ltd, The Indian Steel & Wire Products Ltd, Tata Steel Mining Ltd and S&T Mining Co. Ltd.

Analysts said the amalgamation simplifies the corporate structure and may bring synergy benefits and save costs, besides potential earnings accretion.

Tata Steel rose as much as 4.1% on the stock exchanges on Friday but pared much of the gains as the benchmark Sensex index plunged over 1.73%. However, it still managed to close with gains of 0.55%.