Synopsis : Tata Steel has invested $125.25 million into its Singapore subsidiary, T Steel Holdings, as part of a broader $2.5 billion global capital infusion plan for FY2025-26. The move is aimed at strengthening debt restructuring across overseas units while supporting global expansion.
Tata Steel, one of India’s largest steelmakers, has infused $125.25 million (approximately Rs 1,073.63 crore) into its Singapore-based subsidiary, T Steel Holdings Pte Ltd (TSHP), aligning with its commitment to global restructuring and operational strengthening. The company acquired 124,62,68,657 equity shares of TSHP at a face value of $0.1005 each, ensuring that TSHP remains a wholly owned foreign subsidiary.
This fresh investment is part of the $2.5 billion capital infusion plan approved by Tata Steel’s board in May 2025, which aims to deploy funds in one or more tranches during FY2025-26 to manage debt across Tata Steel’s offshore subsidiaries and aid restructuring, particularly of Tata Steel UK Ltd. TSHP serves as the central holding entity for Tata Steel’s overseas businesses.
Earlier, in February 2025, Tata Steel had acquired 78.85 million equity shares worth $1.24 billion (approximately Rs 10,727 crore) from TSHP to facilitate external debt repayment across its overseas subsidiaries. Prior to this, in August 2024, Tata Steel had invested Rs 2,348 crore in its Singapore unit as part of its global financial management strategy.
In its regulatory filing, Tata Steel stated:
“We wish to inform you that the Company has acquired 124,62,68,657 equity shares aggregating to USD 125.25 million (Rs 1,073.63 crore) in TSHP. Post this acquisition, TSHP will continue as a wholly owned foreign subsidiary of the Company.”
During an earnings call in May 2025, TV Narendran, Managing Director and CEO of Tata Steel, mentioned that the company’s capital allocation for FY2025-26 will remain flat at Rs 15,000 crore, with 75% of this allocation directed towards Indian projects and the remaining 25% focused on its UK and Netherlands operations.
The company’s India capex plans include the phased expansion of its Kalinganagar plant, which will increase its production capacity, along with expanding the Ludhiana plant’s capacity from 0.8 million tonnes to 1 million tonnes, and other downstream expansion projects. This disciplined capital allocation and global infusion strategy are part of Tata Steel’s roadmap to strengthen its financials while strategically positioning itself to capture growth opportunities across domestic and international markets.
The steelmaker had spent Rs 15,671 crore on capital expenditure in FY2024-25 and plans to continue this momentum as part of its commitment to long-term shareholder value and operational excellence.
Disclaimer : This article is for informational purposes only and does not constitute financial advice. Readers are advised to conduct their own due diligence before making financial decisions.
