Tata Steel Mining buys Rohit Ferro-Tech for Rs 617 crore

Tata Steel Mining Ltd (TSML) has acquired debt-laden Rohit Ferro-Tech Ltd for Rs 617.12 crore through an insolvency resolution process.

As per the terms of the resolution plan, TSML has funded Rs 617.12 crore for paying the admitted Corporate Insolvency Resolution Process (CIRP) cost, employee dues, operational creditors and financial creditors as per the provisions of the approved resolution plan, according to a regulatory filing by Tata Steel on Tuesday.

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The investment from TSML to Rohit Ferro-Tech has been made through a combination of equity of Rs 10 crore and inter-corporate loan of Rs 607.12 crore.

TSML has "has successfully completed the acquisition of controlling stake of 90 per cent in Rohit Ferro-Tech Ltd in accordance with the approved resolution plan under the Corporate Insolvency Resolution Process of the Insolvency and Bankruptcy Code 2016", the filing said.

Tata Steel had earlier said the Kolkata bench of the National Company Law Tribunal has approved the resolution plan submitted by TSML for the acquisition of Rohit Ferro-Tech.