Metaliks also looking at mergers and acquisitions as part of its growth strategy 

Tata Metaliks has evinced interest in participating in Tata Steel’s metcoke project in Haldia, a joint venture with West Bengal Industrial Development Corporation (WBIDC). 

Responding to shareholders at the annual general meeting (AGM) on Saturday, T Mukherjee, chairman, Tata Metaliks, said the company has shown interest in investing in Tata Steel’s coke project. 

The coke plant would have a capacity of eight lakh tonne and the estimated cost is likely to be in excess of Rs 500 crore. 

However, the land, which was yet to be acquired, would have space to take the capacity up to two million tonne. 

Mukherjee said the next board meeting of Tata Steel was in October and the shareholder’s agreement between Tata Steel and WBIDC would be ready before that. 

Thereafter, a decision would be taken on Tata Metaliks’ participation in the project. Mukherjee said Tata Steel would have a majority stake in this joint venture with WBIDC. Tata Metaliks was in the process of chalking out its growth plans and among diversification options being weighed were steel making and casting. 

However, Mukherjee said Tata Metaliks would have to seek Tata Steel’s approval for diversifications plans to materialise, since it was the parent company. It would depend on Tata Steel whether Tata Metaliks could enter into competing product categories with the parent. Tata Steel holds 46.66 per cent in Tata Metaliks. 

Tata Metaliks was also looking at mergers and acquisitions as part of its growth strategy. Mukherjee said, there are good opportunities in India at present. 

Meanwhile, the company also aims to grow organically. The capacity of pig iron will be raised from 1.6 lakh tonne to three lakh tonne by January next year. 

Tata Metaliks has also enhanced its borrowing limits by 60 per cent to Rs 120 crore. 

The company plans to spread its footprint to markets beyond India. The business development group of Tata Metaliks was taking initiatives to enter markets like South East Asia, South Korea, Japan and niche markets like Egypt and Dubai.