India/the Netherlands – Indian steel producer Tata Steel is selling its 50% stake in Netherlands-based metals recycler HKS Scrap Metals to Euro Scrap Alliance (ESA) – the subsidiary of Germany’s TSR. The financial specifics of the deal, which is still awaiting approval from the European Commission, have not been revealed.
HKS owns six ferrous and non-ferrous locations within the Netherlands, including one in Amsterdam, and has annual revenues of approximately Euro 400 million. According to Tata, the exit from HKS is ‘in line with our intention to focus on our core activities’.
It also states that existing industrial connections between Tata in the Netherlands and HKS will remain active. ‘ESA already holds the remaining 50% stake in HKS and as a result of the deal ESA will become the 100% owner of HKS,’ the company adds in a statement.
The European branch of Tata’s operations represents the continent’s second largest steel producer, with main facilities in the UK as well as in the Netherlands, Germany, France and Belgium. The group’s total steelmaking capacity amounts to 28 million tonnes per annum.
For more information, visit: www.tatasteelindia.com
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