Moneycontrol
Last Updated : Oct 01, 2018 05:40 PM IST | Source: Moneycontrol.com

Bhushan Steel to be rechristened as Tata Steel BSL Limited

The name change is part of the post-acquisition integration exercise to merge Bhushan Steel with its new parent

Prince Mathews Thomas @prince0879

Bhushan Steel will soon be called Tata Steel BSL Limited. A special resolution to change the name was passed on September 25, during Bhushan Steel's Annual General Body Meeting.

Tata Steel had acquired the troubled steelmaker in May for Rs 35,200 crore through the insolvency process overseen by the National Company Law Tribunal (NCLT).

The Tata Group company had seen off competition from JSW Steel to acquire Bhushan Steel, which had defaulted on repayment of debt amounting to over Rs 45,000 crore.

The resolution was passed with nearly 100 percent of the shareholders approving the new name. The change in the name, "or such other name" will now have to be approved by the Registrar of Companies, "and consequent amendments in the Memorandum and Articles of Association of the Company," Bhushan Steel said in a statement.

Integration

The name change is part of the post-acquisition integration exercise to merge Bhushan Steel with its new parent. Tata Steel had formed a special team to oversee the integration.

Tata Steel plans to raise Bhushan Steel's production to 4 million tonne by the end of this year, PTI reported on Sunday. While the plant in Odisha has a capacity of 5 million tonne a year, it is now producing 3.5 million tonne.

Bhushan Steel has also gone through a management change, with erstwhile promoters, led by the Delhi-based Singhal family, giving way to Tata Steel veterans.

TV Narendran, Chief Executive Officer and Managing Director of Tata Steel, is now the Chairman of the Bhushan Steel board, while Rajeev Singhal is the company's new Managing Director. Singhal is on the boards of several subsidiary and associate companies of Tata Steel.

Other Tata Steel senior executives, including Koushik Chatterjee (Executive Director and Chief Financial Officer) and Anand Sen (President TQM and Steel Business) are also on Bhushan Steel's board.
First Published on Oct 1, 2018 12:10 pm
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