Bhubaneswar: Tata Sponge Iron Limited, a subsidiary of Tata Steel Limited, has completed the registration of transfer deed for transfer of operative iron ore mine from specialty steel and wire rope manufacturer Usha Martin Ltd (UML).
“We wish to inform you that on May 27, 2019, the Company has completed the registration of the transfer deed among UML, the Company and the Governor of Jharkhand, in relation to the transfer of the operative iron ore mine in favour of the Company. However, the transportation of the iron ore extracted from the mine to our plant will take some time pending grant of permissions from the concerned authorities” Tata Sponge Iron said in a regulatory filing.
Last year, Tata Sponge had signed a definitive agreement for the acquisition of the steel business of Usha Martin. The acquisition was completed last month. The acquisition involves UML’s 1.0 MnTPA specialty steel plant in Jamshedpur that makes alloy based long products, a functional iron ore mine, a coal mine under development and captive power plants.
The acquisition is a part of Tata Sponge’s long term plan to foray into Steel manufacturing with a view to diversify its product portfolio.