Mumbai: Ratings agency Standard&Poors (S&P) has revised Tata Steel's outlook from stable to positive based on the the stability of international steel prices and lower likelihood of the company acquiring Bhushan Power and Steel which will keep its credit profile strong.The outlook has been revised as the prospects of Tata Steel acquiring the debt-laden steel company Bhushan Power and Steel grow dimmer with JSW Steel already have gotten the letter of intent (LoI) for the asset. The agency has also affirmed its BB- long term issuer credit rating on Tata Steel and its subsidiary ABJA Investment Co. Pte as well as on the various US dollar-denominated senior unsecured notes issued by the subsidiary. "Continued stable outlook for Indian steel prices is likely to keep Tata Steel Ltd's earnings robust over the next 12 months," S&P said in a note. "We no longer expect Tata Steel to be able to acquire Bhushan Power and Steel. A fall in steel prices is another negative to look out for.

Source: Economic Times April 02, 2019 10:07 UTC