Tata Steel shares rose 1.3% to Rs696.55 during the day, the highest since 5 January 2011. Photo: Indranil Bhoumik/MintMumbai: Brokerages have welcomed Tata Steel Ltd’s decision to merge its European steel operations with that of German steelmaker Thyssenkrupp AG, as it helps the Indian steel maker focus attention on expansion plans in India, and bring down its debt exposure to the European operations. In reaction, Tata Steel shares rose 1.3% to Rs696.55 during the day, the highest since 5 January 2011. “The JV is positive for Tata Steel as the company can now focus on Indian growth opportunity,” Axis Capital Ltd said in a note, adding Tata Steel would now likely look to expand its capacity in Kalinganagar. Ltd shared the view, pointing out that the Tata Steel management has guided to double the capacity of Indian operations to 26 million tonnes in the next five years.

Source: Mint September 21, 2017 07:18 UTC