Tata Steel to raise Rs 16,500 crore debt to fund Bhushan acquisition
Updated : May 22, 2018 04:17 PM IST
The banks, according to industry experts, are expected to take a whopping haircut of about 30-35% in the sale of BSL to an arm of Tata Steel.
The company said Bhushan Steel will have about Rs 16,500 crore of secured debt and it would be contributing significant amount of its own capital into the BSL, so the incremental capital structure will be healthy and sustainable for the future.
Bhushan Steel is currently operating at around 3-3.5 million tonnes, Tata Steel said, adding that it expects the plant to be operational at 4-4.5 MT level quite easily.