Mahindra Ugine Steel Company has sold of entire shareholding of 51, 00,000 equity shares of Rs 10 each held by the company in Mahindra Sanyo Special Steel (MSSSPL), a subsidiary of the company, constituting 51% of the equity share capital of MSSSPL, to Mahindra & Mahindra for an aggregate consideration of Rs 214.33 crore.
The said consideration is as per the Valuation Report of an Independent professional firm. The above proposal for sale of investment in MSSSPL is subject to necessary approvals, as may be required. The Committee of Directors of the company at its meeting held on June 15, 2013 has approved for the same.
Mahindra Ugine Steel Company is engaged in the manufacturing of alloy & special steel through Electric Arc Furnace (EAF) route & caters to the automotive, engineering, bearing & other industries. The company manufactures a wide array of products including skin components, underbody components, critical assemblies, chassis components and car body sheet metal (Body in White) parts with a total capacity of 30,000 metric tons.
