NCLT Mumbai Bench Approves Tata Steel-Angul Energy Merger

5 Jul 2024 , 05:01 PM

The National Company Law Tribunal’s Mumbai bench approved the amalgamation scheme between Tata Steel and its wholly-owned subsidiary Angul Energy. Tata Steel disclosed this approval in an exchange filing on July 3, following previous disclosures on February 6, 2023, and January 5, February 9, and April 19, 2024.

The merger had already received approval from the NCLT’s Delhi Bench, which oversees Angul Energy, on April 18, 2024. Tata Steel provided a copy of the NCLT Mumbai Bench’s order on its website along with the regulatory filing.

Tata Steel announced the cancellation of a planned strike at its Port Talbot plant in Wales, organized by Unite the Union, through a separate filing on July 1.

The strike, originally scheduled for July 8, was called off following assurances of ongoing investment discussions regarding the plant’s future.

Tata Steel is set to announce its financial results for the first quarter of fiscal year 2024-25 shortly. In the previous January-March 2024 quarter, Tata Steel reported a nearly 65% decline in consolidated net profit to ₹555 Crore, down from ₹1,566 Crore in the same period last year.

The company’s revenue from operations also decreased by almost 7% to ₹58,687 Crore in the March 2024 quarter, compared to ₹62,962 Crore in the corresponding period of the previous fiscal year.