Tag: Tata Steel

Tata Steel is setting up a 3mtpa EAF at its Port Talbot steel making facility in the UK, with a capex of GBP 1.25 billion. The project is expected to be EPS accretive for the company due to various benefits such as reduced cash losses, lower volatility in earnings, and lower energy costs. We maintain a ‘Buy’ rating on Tata Steel at a revised target price of Rs 144.

Tata Steel shares surged 3% on September 14 as the company is close to securing £500 million in government funding to safeguard the future of its Port Talbot plant in South Wales. The deal is still subject to final negotiations, but it is a positive step for both Tata Steel and the UK steel industry.

The Indian stock market is likely to open lower on Thursday, tracking losses in global markets. Investors will be closely watching developments in the US-China trade war and the potential for a global recession. The rupee is also likely to remain weak against the dollar. Investors will also be closely watching data on industrial production and retail inflation for June.