Global steel producer Tata Steel is set to tap the syndicated market for a Re220bn (US$3.9bn) project-finance loan.
According to media sources, Industrial Development Bank of India (IDBI) and SBI Capital Markets are acting as the joint lead arrangers on the deal. Another bank involved in the transaction is SMBC, a spokesperson at the bank confirmed to GTR, although the bank’s level of participation cannot yet be disclosed.
ICICI Bank is also believed to be contributing to the deal, although the bank could not comment when contacted by GTR.
The loan proceeds will be used to fund the construction of its new 6 million tonnes a year greenfield steel mill at Kalinganagar in the eastern Indian state of Orissa.
If the financing is achieved, it is will become India’s largest loan for this financial year.
Last Updated August 28, 2012
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