Tata Steel Highlights Major Focus Areas for FY 2021-22
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Tata Steel Highlights Major Focus Areas for FY 2021-22

Tata Steel in Annual report for 2020-21 said that “Strengthening the Balance Sheet continues to be the enterprise strategy of the Company. While we are

Tata Steel in Annual report for 2020-21 said that “Strengthening the Balance Sheet continues to be the enterprise strategy of the Company. While we are seeing a surge in C0V1D-19 cases in the second wave across the country, we are focussed on completing the Cold Rolling Mill complex and the Pellet Plant in Kalinganagar in the next 12 months. Both these projects are margin expansionary and are very high IRR projects. We have also restarted the work on the upstream expansion in Kalinganagar. We aim to strike an optimal balance between capital expenditure and debt repayment.”

It said “We are abo expediting the simplification of Tata Steel Group portfolio and creation of four major business clusters Long Products, Downstream, Mining and Utilities & Infrastructure Services.”

Tata Steel also said “We are also on course to amalgamate the business of Tata Steel BSL into Tata Steel and smooth integration of Tata Steel BSL is important. We have obtained the approval of shareholders on the scheme of amalgamation and are now working towards obtaining the necessary statutory approvals. It is important to mention that since acquisition. Tata Steel BSL has reduced its leverage significantly by 60% and therefore has significantly paid back the acquisition cost.”

Tata Steel added “We are also focussing on scaling our adjacent businesses. In Services and Solutions, we arc restructuring our distribution channels to cater to different segments while enhancing our manufacturing and execution capability. As we are seeing an urgent need for enhancing health infrastructure in the country, our Nest-In prefabricated product is now being deployed m providing COVID-19 isolation centres and for expansion of COVID-19 bed capacity across the country. We are therefore scaling up capacity and capability in this space.”

Tata Steel said “The process to reorganise our European portfolio, including the separation of Tata Steel Netherlands and Tata Steel UK businesses, s n progress. The will lead to more focus, higher performance accountability and optimise the global footprint. The Transformation Programme aimed at improving productivity and rationalisation of costs has started delivering in the last year and we expect to accelerate it further m the year ahead.”

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