After Air India, the Tata Group is going to take over the reins of another government company. Tata Steel Chief Executive Officer (CEO) and Managing Director (MD) TV Narendran said on Tuesday evening that the company will complete the acquisition of Neelachal Ispat Nigam Limited (NINL) by the end of the current quarter. This acquisition of NINL is very important for Tata Steel with a view to create a large product complex. NINL is a joint venture between four CPSEs and two State PSUs of the Government of Odisha.
The process will be completed in the first quarter of the current financial year.
Narendran told reporters on Tuesday, “The acquisition of NINL will be completed in the first quarter of the current financial year and we will accelerate it to boost the expansion of our high-value retail business.” On January 31, NINL had announced winning bid to buy 93.71 per cent stake in Odisha-based steel maker NINL for Rs 12,100 crore.
Also read- Relief Wednesday: New rates of petrol and diesel released, cheapest diesel ₹ 85.83 liters and petrol ₹ 91.45 liters
debts and liabilities of the company
NINL has an Integrated Steel Plant at Kalinganagar, Odisha with a capacity of 1.1 MT. The company is incurring huge losses and the plant is closed since March 30, 2020. The company has huge debts and liabilities of over ₹6,600 crore as on March 31 last year, which includes huge dues to promoters (₹4,116 crore), banks (₹1,741 crore), other creditors and employees. As on 31 March 2021, the company had negative assets of ₹3,487 crore and accumulated losses of ₹4,228 crore.