Subscribe

0

  • Sign in with Email

By clicking the button, I accept the Terms of Use of the service and its Privacy Policy, as well as consent to the processing of personal data.

Don’t have an account? Signup

  • Bookmarks
  • My Profile
  • Log Out
  • NEWS
  • POLICIES
  • MSME OPPORTUNITIES
  • BANKING & FINANCE
  • TECHNOLOGY FOR SMES
  • SECTORS
  • GLOBAL
  • Investment
  • LEGAL
  • KNOWLEDGE QUEST
  • Future Ready Forum 2025
  • Ek Nayi Udaan
  • Future Ready Summit 2024
  • ADVERTISE WITH US
ad_close_btn
  • News
  • Policies
  • Banking & Finance
  • MSME Opportunities
  • Web Stories
  • InFocus
  • Technology For SMEs
  • Sectors
  • Global
  • Fashion

Powered by :

You have successfully subscribed the newsletter.
InFocus Manufacturing

Tata Steel Took an Exit for Thailand & Singapore

The company runs NatSteel Holdings in Singapore and Tata Steel Thailand, through a Singapore-based fully-owned subsidiary TS Global Holdings, which signed a definitive agreement with an HBIS Group-controlled entity — the second largest alloy maker in China — to divest its majority stakes in these two arms — a move closer to mark the Tatas’ long-awaited exit from these two markets.

author-image
SMEStreet Desk
29 Jan 2019 06:37 IST

Follow Us

New Update
T V Narendran, TATA Steel, Manufacturing

As part of its strategic plan to exit non-core markets and focus more on the fast-growing home market, Tata Steel signed an agreement to sell 70% stakes each in its two Southeast Asian arms to the HBIS Group of China for around $480 million.

The company runs NatSteel Holdings in Singapore and Tata Steel Thailand, through a Singapore-based fully-owned subsidiary TS Global Holdings, which signed a definitive agreement with an HBIS Group-controlled entity — the second largest alloy maker in China — to divest its majority stakes in these two arms — a move closer to mark the Tatas’ long-awaited exit from these two markets.

The Chinese steel major will $327 million in cash to the Tatas and take over $150 million combined debt of these companies. Still the deal is 1.5 times the book value of these companies.

This is the second major deleveraging that Tata Steel has done in as many years having merged its heavily loss-making European operations with ThyssenKrupp last year by creating a new giant joint venture with the German engineering and alloy major.

The agreement was signed in Beijing, the company said, adding post-deal, the Tatas will continue to hold 30% each in these two companies through TS Global Holdings.

“As per the agreement, the divestment will be made to a company in which 70% equity will be held by an entity controlled by HBIS and 30% will be held by TS Global Holdings,” the company said.

While the enterprise value of the deal is estimated at around $685 million, Tata Steel is expected to get only around $327 million along with deleveraging of debt of around $150 million.

  • The company runs NatSteel Holdings in Singapore and Tata Steel Thailand, through a Singapore-based fully-owned subsidiary TS Global Holdings, which signed a definitive agreement with an HBIS Group-controlled entity to divest its majority stakes in these two arms.
  • The Chinese steel major will $327 million in cash to the Tatas and take over $150 million combined debt of these companies.
  • This is the second major deleveraging that Tata Steel has done in as many years having merged its heavily loss-making European operations with ThyssenKrupp last year.
Tata Steel Thailand Singapore
Subscribe to our Newsletter! Be the first to get exclusive offers and the latest news
logo

Related Articles
Read the Next Article
Latest Stories
Subscribe to our Newsletter! Be the first to get exclusive offers and the latest news

Latest Stories
Latest Stories
    Powered by


    Subscribe to our Newsletter!




    Powered by
    Select Language
    English

    Share this article

    If you liked this article share it with your friends.
    they will thank you later

    Facebook
    Twitter
    Whatsapp

    Copied!