NEW DELHI: The Centre on Thursday, approved the sale of Ferro Scrap Nigam, a wholly-owned subsidiary of MSTC Ltd under the Steel Ministry, to Japanese firm Konoike Transport for Rs 320 crore.
The decision was made by the Alternative Mechanism, which comprise of transport minister Nitin Gadkari, finance minister Nirmala Sitharaman, and steel minister HD Kumaraswamy.
Konoike’s Rs 320 crore surpassed the resereve price of Rs 262 crore, determined by the government based on valuations conducted by the Transaction Adviser and Asset Valuer.
The strategic sale of FSNL attracted two technically qualified financial bids, with the other bid coming from Indic Geo Resources Pvt. Ltd., a subsidiary of Chandan Steel Ltd.
Konoike Transport Co Ltd, a diversified Japanese company listed on the Tokyo Stock Exchange, boasts a long-standing Steel Division with over 140 years of experience in steelworks operations. The division offers a wide range of services, including raw material acceptance, manufacturing processes, slag treatment, scrap processing, examination, packaging, and delivery of steel products.
Additionally, the division is involved in recycling projects, such as the perfect recycling system, which aims to recycle industrial waste without generating secondary waste.
The FSNL, established on March 28, 1979, specialises in recovering and processing scrap from slag produced during iron and steel making processes at various steel plants. The company plays a crucial role in the steel industry by efficiently managing and recycling waste materials.
The decision was made by the Alternative Mechanism, which comprise of transport minister Nitin Gadkari, finance minister Nirmala Sitharaman, and steel minister HD Kumaraswamy.
Konoike’s Rs 320 crore surpassed the resereve price of Rs 262 crore, determined by the government based on valuations conducted by the Transaction Adviser and Asset Valuer.
The strategic sale of FSNL attracted two technically qualified financial bids, with the other bid coming from Indic Geo Resources Pvt. Ltd., a subsidiary of Chandan Steel Ltd.
Konoike Transport Co Ltd, a diversified Japanese company listed on the Tokyo Stock Exchange, boasts a long-standing Steel Division with over 140 years of experience in steelworks operations. The division offers a wide range of services, including raw material acceptance, manufacturing processes, slag treatment, scrap processing, examination, packaging, and delivery of steel products.
Additionally, the division is involved in recycling projects, such as the perfect recycling system, which aims to recycle industrial waste without generating secondary waste.
The FSNL, established on March 28, 1979, specialises in recovering and processing scrap from slag produced during iron and steel making processes at various steel plants. The company plays a crucial role in the steel industry by efficiently managing and recycling waste materials.
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