Essar Group to sell infra assets to ArcelorMittal Nippon Steel
Steel

Essar Group to sell infra assets to ArcelorMittal Nippon Steel

ArcelorMittal Nippon Steel (AM/NS) India will acquire a clutch of infrastructure assets including three ports, two power plants and a power transmission line from Essar Group for $2.4 billion, or about Rs 19,158 crore, the companies said in separate statements.

The assets are mainly for captive use for the steelmaking operations of AM/NS India that had acquired Essar Steel India through the bankruptcy court in 2019. ArcelorMittal and Essar Group have also agreed to form a 50-50 joint venture partnership for building a four million tonne per annum (mtpa) LNG terminal at Hazira in Gujarat.

For ArcelorMittal Nippon Steel, the deal will mean better control and synergy in its end-to-end ore to finished steelmaking. For the Ruias of Essar, it provides an opportunity to focus on rebuilding their business empire. The 'win-win' deal will also perhaps end a three-year-old tussle between AM/NS India and Essar Group that saw both parties taking their differences to the courts, people aware of the development said.

ArcelorMittal Nippon Steel (AM/NS) India will acquire a clutch of infrastructure assets including three ports, two power plants and a power transmission line from Essar Group for $2.4 billion, or about Rs 19,158 crore, the companies said in separate statements. The assets are mainly for captive use for the steelmaking operations of AM/NS India that had acquired Essar Steel India through the bankruptcy court in 2019. ArcelorMittal and Essar Group have also agreed to form a 50-50 joint venture partnership for building a four million tonne per annum (mtpa) LNG terminal at Hazira in Gujarat. For ArcelorMittal Nippon Steel, the deal will mean better control and synergy in its end-to-end ore to finished steelmaking. For the Ruias of Essar, it provides an opportunity to focus on rebuilding their business empire. The 'win-win' deal will also perhaps end a three-year-old tussle between AM/NS India and Essar Group that saw both parties taking their differences to the courts, people aware of the development said.

Related Stories

Gold Stories

Hi There!

Now get regular updates from CW Magazine on WhatsApp!

Click on link below, message us with a simple hi, and SAVE our number

You will have subscribed to our Construction News on Whatsapp! Enjoy

+91 86574 75330

Join us Telegram

Reach out to us

Call us at +91 8108603000 or

Schedule a Call Back