26 July 2024
Five years after the acquisition of ESL Steel at what appeared to be a favorable price, the founder of Vedanta is now eager to divest the company. However, finding a suitable buyer has proven to be challenging. According to a recent report, Vedanta is currently seeking to sell Steel Ltd., formerly known as Electrosteel Steels Ltd., which was purchased for ₹5,320 crore through a bankruptcy resolution process half a decade ago. Two sources familiar with the matter disclosed this information. The responsibility for facilitating the sale of the asset, located in Bokaro, Jharkhand, rests with banking institutions, including Citigroup and JPMorgan's India offices. The potential sale may also encompass the iron ore mines in Goa and Karnataka. More details and specifications of the assets are expected to be revealed by mid-August. The estimated value of the steel business and the associated iron ore assets is projected to fall within the range of $2 billion to $3 billion.
