Don’t miss the latest developments in business and finance.

Tata Steel gains after announcing suspension of production at hot strip mill at Llanwern in UK

Image
Capital Market
Last Updated : Aug 27 2015 | 3:02 PM IST

Tata Steel rose 3.16% to Rs 222.30 at 11:30 IST on BSE after the company said that it has decided to focus on production of hot rolled coils at its hot strip mill in Port Talbot in south Wales in the UK.

The announcement was made during market hours today, 27 August 2015.

Meanwhile, the BSE Sensex was up 330.92 points, or 1.31% to 26,050.93.

On BSE, so far 4.26 lakh shares were traded in the counter, compared with an average volume of 10.16 lakh shares in the past one quarter.

The stock hit a high of Rs 222.50 and a low of Rs 217.85 so far during the day. The stock had hit 52-week low of Rs 200.40 on 25 August 2015. The stock had hit 52-week high of Rs 532.05 on 27 August 2014

The stock had underperformed the market over the past one month till 26 August 2015, falling 18.71% compared with 8.53% fall in the Sensex. The stock had also underperformed the market in past one quarter, declining 35.26% as against the Sensex's 6.6% decline.

More From This Section

The large-cap company has an equity capital of Rs 971.22 crore. Face value per share is Rs 10.

Tata Steel further said that it will stop production at some coil processing facilities and also at the hot strip mill at Llanwern in south Wales in the UK. Tata Steel said that the decision has been taken because cheap imports and a strong British pound have created a challenging business environment. Employees at the Llanwern mill will be redeployed within the business and the company will discuss possible impact with contracting companies which provide services to this unit, the company said.

Tata Steel's consolidated net profit jumped 126.2% to Rs 762.96 crore on 17.7% fall in total income to Rs 31220.93 crore in Q1 June 2015 over Q1 June 2014.

Tata Steel is one of the biggest global steel companies.

Powered by Capital Market - Live News

Also Read

First Published: Aug 27 2015 | 11:09 AM IST

Next Story