Stemcor's India asset sale extended to Jan 20

Bidders were to submit binding offers and financial bids today

The sale of the Indian assets of Stemcor, a London-based steel trading company, has been extended with the bid date postponed to January 20, a source told Business Standard on Monday.

Bidders were to give binding offers and financial bids by Monday. Both will now be given together on January 20, said the source.

“It has been a vacation period in Europe since mid-December until yesterday and since a lot of parties like the divestment team and others are based in Europe, bidders may have asked for an extension for submission of bids due to the vacation period there,” said the source.

Jindal Steel & Power Ltd and JSW Steel Ltd are seen as the more serious bidders for the Odisha assets of the London-based company. Stemcor’s Indian assets includes a four-million-tonne pellet unit in Odisha.

Indian steel companies are attracted to these assets by the ready availability of iron ore, one of the key raw materials used in the making of the alloy. Stemcor, on the other hand, has been looking to sell its India assets as it would make way for it to pay up its $1.2 billion international debt.