SINGAPORE - TS Global Holdings, a subsidiary of India-listed Tata Steel, has divested a 100 per cent stake in its Singapore-based unit NatSteel Holdings for $172 million, the company said on Thursday (Sept 30).
The buyer, Toptip Holding, is a Singapore trader of iron ore, steel and steel products with an annual turnover of more than US$1 billion (S$1.36 billion) and strong relations with Chinese steel mills, it added. Toptip is unrelated to Tata Steel.
The sale does not include Siam Industrial Wires, NatSteel's unit in Thailand that has been carved out of NatSteel and consolidated with TS Global.
TS Global will use the sale proceeds to reduce its offshore debt, Tata Steel said.
Tata Steel bought the steel business of Singapore-listed NatSteel in 2005. The transaction was valued at $486.4 million at the time and Tata retained its brand. The remaining divisions of NatSteel became known as NSL, which is still listed on the Singapore Exchange.
In 2019, Tata failed to sell a 70 per cent stake in NatSteel to China's state-controlled Hesteel.