In a bid to trim its debt, Usha Martin is planning to sell either of its two profitable divisions - wire and wire rope or steel. In this regards, the company has appointed the Royal Bank of Canada as a merchant banker for looking at prospective buyers. This apart, other consultants like BCG, have also been appointed to chart out its future course.
As on FY17, the country’s largest wire rope manufacturer had a net debt of Rs 3,718 crore, including nearly Rs 3,300 crore long term debt. The net loss stood at Rs 359 crore. Despite the net loss, the steel and wire rope making divisions are EBIDTA positive.
Usha Martin is amongst the largest wire rope manufacturer in the world and a leading speciality steel producer in India. The wire rope manufacturing facilities located in India, UK, UAE, and Thailand produce one of the widest range of wire ropes in the world.
