Tata Steel’s subsidiary -- Tata Sponge Iron is likely to take over the operations of Usha Martin's (UML) steel unit in Jamshedpur. The money from the deal will be kept in an escrow account of State Bank of India (SBI) and will be utilised to repay UMLs debt.
Tata Steel had entered into an agreement with Usha Martin in September 2018 for acquiring its one million tonne integrated steel plant in Jamshedpur for an estimated value of around Rs 4200-4600 crore.
Tata Steel, the flagship company of the Tata group is the first integrated steel plant in Asia and is now the world’s second most geographically diversified steel producer and a Fortune 500 company.
