Skip to main content

Essar Steel fate yet to decide

Domestic major steel player Essar is under IBC proceedings since last 2 years. The decision of NCLAT came on 5 july cleared the bid of 42000 crore of arcelor mittal group.  But its financial lenders like SBI are not happy with the decision and planning to go for Supreme court as per a banking executive. The Ruias resolution plan of 54000 crore is looking more promising to lenders as they get entire share of their loan amount. Where as company is now performing well as they posted 1120 crore operating profit in april- june quarter which is 2.5% increased from the same quarter in last year despite price downfall in steel sector. The company is under resolution professionals and performing well by improving their product mix, Now the company is managing cash flow for their entire operations and not taking any kind of loan. But the fate is still to decide of this 10mt capacity major steel giant group. 

Comments

Popular posts from this blog

Steel recycling must for environment protection goals

Recycling means generating from waste is the key business that is on focus now a days. Steel recycling which is ignored in india till now is focussing on this business. TATA Steel starts a joint venture at rohatak Haryana with Arti green tech,  a unit of ludhiana based Arti steel with investment of 150 crore to produce steel from scrap with digitally equipped technologies. Steel recycling will reduce carbon emmissions up to 60% and indian steel will flourish sustainably. Where as its a dream project of Mr.  Narendran CEO & MD of TATA Steel. Steel has properties that never lost after recycling they remain same. Currently automobile and other various sectors are generating steel scrap which is tough to handle and also a loss for business. So after the complete research TATA steel is focussing towards environment friendly technologies with great safety.  Arcelor mittal is already in recycling steel business and almost 30% steel is recycled by them. But In India now with capacity of …

TATA steel Quarter 1 results increased 9% YOY

Indian steel player TATA steel posts quarter one numbers in its bse filing.  The overall production increased 9% in 2019-20 first quarter compared to last year in same quarter. The production and sales volumes both increased in India but in Europe both sales and production decreased. After Bhushan steel takeover domestic business is showing better results with full capacity utilization. Steel prices goes up after china US trade war and chinese environmental policies to cut down emissions affecting production and subsequently prices of steel are increasing drastically in the market which is benefiting indian steel industry.

Production data of Quarter 1 

Production         2019-20     2018-19
Over All            7.61mt      6.97mt
India                     4.37mt       3.64mt
Europe                  2.66mt      2.81mt
South east Asia0.58mt      0.52mt

Sales data of Quarter 1

Sales                     2019-20      2018-19
Over All                6.75mt       6.39mt
India                  …