ArcelorMittal SA, the world’s largest steelmaking company, declared on Friday that it would join hands with Japan’s biggest steelmaker Nippon Steel & Sumitomo Metal Corp to purchase Indian steelmaking firm Essar Steel India Ltd, which is proceeding towards bankruptcy.
ArcelorMittal India Pvt Ltd, a unit submitted a plan to India’s National Company Law Tribunal, which deals with insolvency and company disputes, on February 12 in order to bid for Essar Steel in partnership with Nippon Steel.
“Should the submitted Resolution Plan be selected and formally accepted by India’s National Company Law Tribunal, ArcelorMittal and NSSMC would jointly acquire and manage Essar Steel,” said in a statement.
“Partnering with NSSMC for Essar Steel was always our intention and adds further strength to our offer. Combining our experience and expertise creates a powerful partnership that has a proven track record – our rich history of positive collaboration dates back more than 20 years with three joint ventures in the US,” ArcelorMittal Chairman and CEO Lakshmi Mittal said.
