ArcelorMittal submits revised bid for Essar Steel

ArcelorMittal has submitted a revised bid to the Committee of Creditors of Essar Steel.

"ArcelorMittal confirms that it has today submitted a revised proposal to Essar Steel's Committee of Creditors for the acquisition of ESIL," ArcelorMittal said in a statement Monday.

"The financial terms of the proposal are confidential, but represent a material increase to the previous offers made by the company," the statement added.

The revised bid, believed to be at Rs 42,000 crore, is more than Numetal's Rs 37,000 crore bid that was submitted in the second round, ET NOW quoted sources as saying.

This came after the NCLAT had ruled that Numetal's second round bid for Essar Steel was valid. The tribunal had asked ArcelorMittal to clear the dues worth Rs 7,000 crore to be eligible for the second round bidding.

ArcelorMittal is believed to have offered to pay back the entire secured debt of Essar Steel.

It has also offered to clear dues worth Rs 7,000 crore associated with Uttam Galva and KSS Petron.

Both Numetal and ArcelorMittal's initial bids which were submitted in February were rejected by the Resolution Professional for violating Section 29A of the IBC which bars promoters of defaulting entities to bid for the assets.

Apart from Numetal and ArcelorMittal, mining baron Anil Agarwal-led Vedanta are in the race to acquire Essar Steel.

(With inputs from PTI)