NEW DELHI: The merger of 7 subsidiary companies with Tata Steel is expected to be completed in 2023-24 fiscal year, its CEO and managing director T V Narendran said.
In September 2022, Tata Steel board had approved a proposal to merge six of its subsidiaries into itself for greater synergies, higher efficiency and reduce costs.
"We had already announced (merger of) 6 companies earlier. (Merger of) one more Angul Energy we announced recently," he told PTI in reply to a question on the timeline for the merger.
However, the completion of the merger depends on the regulatory processes including NCLT clearances, post which the process is expected to be completed in the next financial year, the CEO said.
"We are dependent on the speed at which we can go through our regulatory requirements," he added.
Besides Angul Energy, the six subsidiaries to be merged with Tata Steel are Tata Steel Long Products (TSPL), The Tinplate Company of India, Tata Metaliks, TRF, Indian Steel & Wire Products, and Tata Steel Mining and S&T Mining Company.
When asked about plans of merging recently acquired NINL into Tata Steel, the CEO said there are no such immediate plans.
"As per the terms of purchase with the government, the company is committed to run the new asset as a separate legal entity for three years. after that we can decide what is best for NINL," he said.
Narendran also said Tata Steel will first work to complete the merger of these 7 entities before it plans for merger of more subsidiary companies into self.