Tata Steel to use Riversdale funds to start projects

Mumbai : Tata Steel Ltd, India’s largest producer, said it will use the $1.14 billion received from selling its stake in Riversdale Mining Ltd to start new projects and expand and upgrade existing ones. The cash will help meet the investment required in its upcoming factory in the eastern state of Orissa, Vice Chairman Balasubramanian Muthuraman said in an interview in Chennai. Part of the funds will be used to modernize Tata Steel’s European factories, he said.

Tata Steel doesn’t have plans to raise any more funds this fiscal year, Muthuraman said. Tata Steel rose as much as 0.9 per cent to Rs 602.90 in Mumbai.