Tata Steel BSL has reportedly raised Rs 12,000 crore to refinance loan, availed to fund Tata Steel’s acquisition of Bhushan Steel in the insolvency resolution process. The move would bring down interest costs and lower the overall cost of debt capital. HDFC Bank, Axis Bank and Kotak Mahindra Bank are among the lenders that loaned the refinancing funds.
Tata Steel BSL formerly known as Bhushan Steel is the largest manufacturer of auto-grade steel in India. Tata Steel BSL with a large amount of debt in proportion to its equity, is a highly leveraged company.