TATA Steel CEO T V Narendran has cleared that the company is not so keen on any other new acquisitions. The remarks come in reply to questions about TATA Steel’s interest in buying Vedanta Ltd’s steel business. TATA Steel has been in expansion mode in India for quite some time now while Vedanta was also reviewing its steel and steel-making raw materials business
“Not so keen on any other new acquisitions… We don’t need it,” T V Narendran said as per news agency PTI.
The CEO’s comments put to rest all the anticipation around a possible deal with Vedanta. In June, Vedanta announced immediate commencement of a comprehensive assessment and exploration of various possibilities, encompassing the potential strategic divestment of a portion or the entirety of its steel enterprises.
T V Narendran to augment steel production capacity
T V Narendran affirmed that a lot needs to be done with the existing TATA Steel sites. The company has formulated a strategy aimed at augmenting its yearly established capacity for steel production to 40 million metric tonnes per annum (MTPA) within the Indian market by the year 2030, an increase from its existing capacity of approximately 22 MTPA.
The CEO also spoke on the operations of TATA Steel UK and said, “We are (still) engaged with the UK government to find a solution. If we can find common ground with the government (there).” He asserted that there is currently no problem with the UK operations apart from some upstream assets that are old and the reliability of some equipment
Tata Steel possesses the largest steel manufacturing facility in the United Kingdom located in Port Talbot, situated in South Wales. It sustains a workforce of approximately 8,000 employees throughout its various undertakings within the nation.
The company had pursued funding of 1.5 billion pounds from the UK government to facilitate the implementation of its initiatives for reducing carbon emissions. Nevertheless, earlier this year, the British government responded with a counterproposal that significantly fell short of the company’s anticipated financial support.
