Additionally, Tata Steel stated that it had retained the wire business of NatSteel in Thailand as part of the downstream wires portfolio.
Tata Steel said it has executed a definitive agreement to divest its entire stake in NatSteel Holdings Pte. Ltd for an equity value of $172 million or Rs 1,275 crore. The company said that it had executed the definitive agreement with TopTip Holding Pte Ltd which is a Singapore based steel and iron ore trading company.
NatSteel is the steelmaking unit under Singapore-based T.S. Global Holding, which is an indirect subsidiary of Tata Steel.
Additionally, Tata Steel stated that it had retained the wire business of NatSteel in Thailand as part of the downstream wires portfolio. Siam Industrial Wires is a member of NatSteel Holdings and a wholly-owned subsidiary of the Tata Steel Group.
Tata Steel mentioned that based on the historical performance of the transacted business, the Enterprise Value to EBITDA works out to be about 13 times. "The transaction has been closed today, the consideration received, and will be used for reduction of off-shore debt," Tata Steel stated in a press release.