Tata Steel to merge 7 subsidiaries by FY24, says CEO T V Narendran

Tata Steel CEO and managing director TV Narendran said that the merger of 7 subsidiary companies with Tata Steel is expected to be completed in 2023-24 fiscal year, news agency PTI has reported.

The seven subsidiaries to be merged with the company are Angul Energy, Tata Steel Long Products (TSPL), The Tinplate Company of India, Tata Metaliks, TRF, Indian Steel & Wire Products, and Tata Steel Mining and S&T Mining Company.

Earlier in September 2022, the board had approved a proposal to merge six of its subsidiaries into itself for greater synergies, higher efficiency and reduce costs.

Replying to a question on the timeline for the merger, Narendran told PTI that, “We had already announced (merger of) 6 companies earlier. (Merger of) one more Angul Energy we announced recently.”

However, the CEO added that, the completion of the merger depends on the regulatory processes including NCLT clearances, post which the process is expected to be completed in the next financial year.

“We are dependent on the speed at which we can go through our regulatory requirements,” he told PTI.

When asked about plans of merging recently acquired NINL into Tata Steel, the CEO said there are no such immediate plans.

“As per the terms of purchase with the government, the company is committed to run the new asset as a separate legal entity for three years…after that we can decide what is best for NINL,” he said.

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