Tata Steel has divested its stake in Lanka Special Steels Limited to E.B. Creasy & Company PLC for LKR 433 million, aiming to streamline operations and enhance financial focus.
Information on the Target
Tata Steel Limited has successfully divested its entire stake in Lanka Special Steels Limited (LSSL) to E.B. Creasy & Company PLC (EBCC) for a transaction total of LKR 433 million, which is approximately Rs. 20.4 crore. LSSL was a wholly owned subsidiary of Tata Steel, incorporated in Sri Lanka, and focused on the manufacturing and supply of hot dip galvanized wire and nail wire. The subsidiary had an impressive installed capacity of 14,400 metric tonnes per annum and reported an annual turnover of LKR 1,569 million (Rs. 74.0 crore) in the fiscal year 2014.
Industry Overview in Sri Lanka
The steel industry in Sri Lanka has been evolving steadily, with rising demand driven by various sectors including construction and manufacturing. The country has witnessed increased investments in infrastructure projects, which have stimulated growth in the steel sector. Furthermore, governmental policies aimed at enhancing domestic manufacturing capabilities have also positively influenced the industry landscape.
Access Full Deal Insights
You’re viewing a public preview of this deal. To unlock full access to ca. 50,000 other deals in our database and join ca. 400 M&A professionals who are using it daily, sign up for Dealert.
Sri Lanka is strategically positioned for trade with neighboring countries, which presents significant opportunities for steel manufacturers to export their
Similar Deals
E.B. Creasy & Company PLC
invested in
Lanka Special Steels Limited
in
in a Buyout deal
Disclosed details
Transaction Size: $3M
Revenue: $11M