Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.
Published by: Asian Business Case Centre
Originally published in: 2011
Version: 10 May 2007
Length: 26 pages
Data source: Published sources

Abstract

In August 2004, B Muthuraman, managing director of Tata Steel, India, led his strategic planning team to make an unsolicited offer to acquire the steel business of the National Iron and Steel Company, Singapore (NatSteel). Valued at US$289.50 (S$486) million, the NatSteel acquisition was India's second largest in that year. The acquisition provided Tata Steel with access to NatSteel's customers and steel finishing capacity in Southeast Asia and East Asia. It also catapulted Tata Steel's installed capacity from four to six million tons and global ranking from 56 to 28. Although the deal looked inexpensive to Muthuraman as compared to setting up a new integrated steel plant of a similar size, he felt that successful cross-border acquisition management remained a key challenge to realise its value and his VISION 2007: Sustaining the 'EVA-Positive' status for the company.
Location:
Size:
Largest private sector steel company in India in terms of domestic production
Other setting(s):
2001-2004

About

Abstract

In August 2004, B Muthuraman, managing director of Tata Steel, India, led his strategic planning team to make an unsolicited offer to acquire the steel business of the National Iron and Steel Company, Singapore (NatSteel). Valued at US$289.50 (S$486) million, the NatSteel acquisition was India's second largest in that year. The acquisition provided Tata Steel with access to NatSteel's customers and steel finishing capacity in Southeast Asia and East Asia. It also catapulted Tata Steel's installed capacity from four to six million tons and global ranking from 56 to 28. Although the deal looked inexpensive to Muthuraman as compared to setting up a new integrated steel plant of a similar size, he felt that successful cross-border acquisition management remained a key challenge to realise its value and his VISION 2007: Sustaining the 'EVA-Positive' status for the company.

Settings

Location:
Size:
Largest private sector steel company in India in terms of domestic production
Other setting(s):
2001-2004

Related