India’s National Company Law Tribunal on Monday, October 19, approved Indian steelmaker JSW Steel Limited’s acquisition of Asian Color Coated Ispat Limited under a bankruptcy resolution process, an official said.
JSW Steel Limited had offered about $212 million to acquire the one million mt per year color-coated product producing bankrupt steel mill.
In June 2019, a committee of creditors of Asian Color Coated Ispat accepted JSW’s bid through a majority vote, which was accepted by 80 percent of creditors of the ailing steel mill.
Asian Color Coated Ispat Limited was part of the Reserve Bank of India’s second list of 28 companies defaulting to banks referred to insolvency courts. The company operated a rolling mill complex with an installed capacity of 300,000 mt per annum for production of color-coated steel products for industries like automobile and consumer durable manufacturing. The company is also operating facilities to produce cold rolled coil (CRC) and galvanized, with the total capacity of the group being 1 million mt.