Indian Metals & Ferro Alloys has signed definitive agreements to acquire Tata Steel’s ferro chrome plant in Kalinganagar, Odisha. The asset transfer agreement will add 99 MVA furnace capacity (66 MVA existing and 33 MVA under construction) for a base purchase consideration of Rs 610 crore, making the company the country’s largest producer and 6th largest globally with total capacity in excess of 0.5 million tonnes. The transaction is expected to close in 3 months.
Spread across 115 acres in Kalinganagar, the facility being acquired consists of four furnaces capable of producing 100,000 TPA annually which will further increase to 150,000 TPA once the fifth furnace is commissioned. It’s proximity to the company’s captive chrome ore mines and the upcoming greenfield expansion will lead to significant costs savings and operational synergies.
Indian Metals & Ferro Alloys is India's largest producer of ferro chrome with 190 MVA installed furnace capacity backed up by 262.50 MW captive power facilities and extensive chrome ore mining tracts.
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