India’s Shyam Metalics and Energy Limited (SMEL) has acquired Mittal Corp Limited through the bankruptcy resolution process marking its foray into stainless steel production, a company statement said on Wednesday, December 21.
The acquisition will give SMEL access to a production capacity of 150,000 mt per year of stainless steel, wire rod and bars, and it will invest a further $914 million over the course of the next five years to augment these capacities acquired from Mittal Corp, the statement said.
Giving the overall view of the future expansion plans of SMEL and group companies, chairman Brik Bhushan Agarwal said that, within the next six months, the company will ramp up capacities of pellets from 3.6 million mt to 6 million mt per year, sponge iron from 2.1 million mt to 2.9 million mt per year, billet from 1.47 million mt to 2 million mt and finished steel from 1.47 million mt to 2 million mt.
He said that the company’s aggregate capital expenditure on all these projects will be an estimated $1.21 billion.
