How Tata Steel's bid for ailing NINL fits in with the major's strategy

On January 31 - the eve of the Union Budget - Tata Steel Long Products, a subsidiary of Tata Steel, was declared the winning bidder for a 93.71 per cent stake in Neelachal Ispat Nigam Limited

On January 31 — the eve of the Union Budget — Tata Steel Long Products (TSLP), a subsidiary of Tata Steel, was declared the winning bidder for a 93.71 per cent stake in Neelachal Ispat Nigam Limited (NINL), an asset owned by central and state public sector undertakings (PSUs). In the running were: Sajjan Jindal’s JSW Steel and a consortium of Naveen Jindal-owned Jindal Steel & Power and Nalwa Steel and Power. But with a Rs 12,100-crore bid, Tata Steel won the race for the 1.1-million tonne (mt) asset without breaking a sweat.

Analysts dubbed it an “expensive affair”. A Motilal