India’s Tata Steel Limited will infuse INR 6 billion ($723 million) into Neelachal Ispat Nigam Limited (NINL), a company official said on Friday, August 2.
The official said that the funds will be utilised to redeem non-convertible preference shares of NINL held by Tata Steel and, after the fund infusion, NINL will become a wholly-owned subsidiary of Tata Steel.
Tata Steel’s holding in NINL will increase to 100 percent from 99 percent at present.
NINL which operates a 1.1 million mt long steel producing mill in Odisha with an iron ore mine with reserves of 90 million mt was acquired by Tata Steel in 2022 through government disinvestment of equity in NINL.