UK govt willing to buy 25% in Tata Steel plants

The UK government on Thursday announced it is willing to acquire 25 per cent stake in Tata Steel’s UK operations to help potential buyers eyeing ownership of the Indian steel firm ‘s loss-making plants.

The money “worth hundreds of millions of pounds” is being put up jointly by the UK and Welsh governments and will be made available to potential buyers as part of a support package for the crisis-hit steel industry, according to the business department in London.

Business Secretary Sajid Javid had earlier said any money would be offered on commercial terms, quashing talks of nationalising the industry.

At least two potential buyers have shown interest in buying the business.

One option is a management buyout backed by the chief of Tata’s Port Talbot factory, the UK’s largest steel operation, the BBC reported.

Steel company Liberty House, owned by Indian-origin Sanjeev Gupta, has also said it was interested in buying parts of the business.

[Source:- Businesstoday]