Tata Steel in talks with SSAB to sell the plant

India-headquartered steel company Tata Steel announced that it is in talks with Swedish steel company SSAB AB to sell a subsidiary in the Netherlands. The company said in a media statement that discussions about the potential sale of the business have already begun. The proposed acquisition will cover the company's Dutch steel operations, including the Ijmuiden steel plant.

Commenting on the progress, Kushik Chatterjee, CEO and Chief Financial Officer of Tata Steel, said the company will proceed with due process and move on to the next steps, including consultation and due diligence, based on discussions initiated by SSAB Sweden. The company hopes to spin off Tata Steel Netherlands from Tata Steel UK, choosing separate strategic paths for both.

The company struggled to find a solution for its unprofitable European subsidiaries. It should be noted that the merger between Tata Steel and Thyssenkrupp AG has proved difficult for its European division due to regulatory hurdles.

At the same time, the company decided to reorganize its business in India, grouping its subsidiaries into four clusters: Long Products, Processing, Mining, Utilities and Infrastructure. The reorganization into four verticals is expected to create value for stakeholders by driving growth.