Business Standard reported that UK based alternative investment manager that specialises in turning around underperforming facilities Nithia Capital has identified around 15 stressed steel assets in India for acquisition. While Nithia has zeroed in on about 15 assets, it is not planning to acquire all of them. Although they are all stressed assets, not all are in the National Company Law Tribunal for debt resolution. The total enterprise valuation that Nithia is looking at is USD 1 billion to USD 1.2 billion as part of its India plan. The assets are small and based in central and eastern India.
Mr Jai Saraf, founder and CEO said that “The idea is to create a platform of 3-3.5 million tonne of steel capacity and then grow organically and complete the half-finished capex. In 4-5 years, we plan to exit through an initial public offering or a strategic sale.”
In India, Nithia has an arrangement with CarVal Investors, founded by Cargill. (Ukrainian metal)