ArcelorMittal set to close INR42,000cr Essar Steel deal.
Do We Have A Deal?: World's largest steel-maker ArcelorMittal is set to close INR42,000cr deal with Essar Steel's lenders next week.
The funds are in a State Bank of India (SBI) account and will be distributed to financial creditors and operational creditors on Monday, a lender said.
Essar Steel will be jointly owned and operated by ArcelorMittal and Nippon Steel Corporation (Nippon Steel), Japan’s largest steel producer and the third largest steel producer in the world. ArcelorMittal will hold 60% in the venture, while the rest will be with Nippon Steel. Both companies will have equal representation and voting rights on its board of directors.
The closing of the transaction will bring to an end the more than 800-day-long corporate insolvency resolution process. Essar was admitted to the National Company Law Tribunal on August 2, 2017. It was one of the 12 NPAs mandated by the RBI for resolution under the Insolvency and Bankruptcy Code (IBC). BS
Lining Them Up: Reliance Industries has acquired a majority stake in drone maker Asteria Aerospace, augmenting its push into the technology sector.
Reliance has bought a 51.78% stake in Asteria for INR23.12cr and will over time invest an additional INR125cr to increase its holding to 87.3%.
Asteria, incorporated in June 2011, is a full-stack drone technology company with in-house drone manufacturing capabilities. It also offers software solutions to provide insights from aerial data, intending to deliver "drone-as-a-service" digital platform.
The news comes on the heels of an announcement by Reliance Industries that its wholly-owned subsidiary Reliance Strategic Business Ventures Ltd (RSBVL) has acquired 85% stake in NowFloats Technologies for a cash consideration of INR141.63cr in a bid to strengthen the group's digital and new commerce initiatives. VCCircle
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