Tata Steel UK unit sale talks to gain pace post Brexit poll: JPM

Moneycontrol BureauBrokerage house JP Morgan feels progress on Tata Steel’s talks to sell its UK plant should pick up after the ‘Brexit’ referendum, irrespective of whichever way the vote goes.The brokerage has retained its ‘overweight’ rating on the stock.Tata Steel is learnt to have received bids for its Port Talbot plant, but has not announced the list of potential suitors.“Post the BREXIT vote tomorrow, we expect progress to pick up on the asset sale, irrespective of the way the vote goes,” says the note.JP Morgan analysts feel the probability of Tata Steel not selling the plant in return for concessions from the UK government are low.“We view this (no sale) as a low probability event, as we see the UK exit as part of a bigger strategic push to invest in India, where the down-cycle is likely to throw up attractive acquisition opportunities,” says the note.