Tata takes over Corus for $8.1 bn

On Oct 9, we reported that Tata Steel was poised to bid for Corus, the Anglo-Dutch steel company for $9.3 billion. On 18th the Corus board accepted a slightly lower bid than the previously speculated amount for $8.1 billion. This marked the largest ever overseas takeover by an Indian company. Now, the deal has catapulted Tata Steel to the world’s 5th largest steel company from its previous 56th position with an output capacity of over 22.5 million tons. Ratan Tata, the chairman of the Tata conglomerate – the Tata Group will chair the new board of the company where as the previous chairman of Corus James Leng will be the vice-chairman. Incidentally, London-based Indian businessman Lakshi Niwas Mittals, Mittal Steel is the world’s largest steel company with a total output of nearly 50 million tons.