Tata Steel European business strategy
Tata Steel has announced it would explore strategic alternatives for its UK business, including the potential sale of the business as a whole or in parts. The company has deeply engaged with the Governments of the UK and Wales at every stage of the process.
On 9 May, seven expressions of interest were taken forward to the next stage of a possible sale process. The bids received have been carefully considered in detail on the basis of their commercial value and prospects for the future sustainability of the UK business for a range of stakeholders. The bids have also been reviewed in the light of the uncertainties caused by the UK referendum and the outcome of the UK Government’s consultation on the British Steel Pension Scheme.
The Board of Tata Steel has decided to also look at alternative and more sustainable portfolio solutions for the European business. Consequently, the company has entered into discussions with strategic players in the steel industry, including thyssenkrupp AG. Koushik Chatterjee, Group Executive Director and Tata Steel’s Executive Director for Europe, said: “We have initiated conversations for a strategic collaboration for our European business. A potential strategic combination of strip products businesses offers the best prospects to create a premium, world-class strip steel business with the scale and scope of capabilities to compete successfully on the global stage.”