Bengaluru: The National Company Law Tribunal (NCLT) on Friday approved steel giant ArcelorMittal SA's takeover bid for debt-ridden Essar Steel Ltd, TV news channels said.
ArcelorMittal, which has been engaged in a drawn-out attempt to acquire Essar Steel since 2017, had made a ₹42,000 crore ($5.99 billion) bid for the bankrupt Indian steelmaker and later sweetened the deal by offering a ₹8,000 crore equity infusion.
"We welcome today's pronouncement by NCLT Ahmedabad," said ArcelorMittal. "While we will need to review the full written order once it becomes available, we hope to complete the transaction as soon as possible."
The Ruia family are already fighting to prevent their flagship steel asset from falling into the hands of the global steel giant. Essar Steel believes settlement proposal of ₹54,389 crore offered by its shareholders is "most compelling" to creditors.
Essar’s creditors are selling many of the group’s assets to recover billions of dollars of loans, leaving Essar Group with little say over who buys the assets.
This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed
