Financial stress may delay Liberty Steel's project expansion plans in India

Media reports said near-collapse of Gupta Family Group Alliance's biggest lender has completely choked off the key source of funding

The expansion of two Liberty Steel group’s projects in India including Adhunik Metaliks may face delays as the Sanjeev Gupta-owned conglomerate is facing financial stress back home, say bankers. Liberty Steel Group had acquired Adhunik Metaliks in March last year for Rs 500 crore, and was planning to double the capacity of its Odisha based unit to one million tonnes. The group had also acquired Zion Steels Limited which is producing TMT bars for Adhunik Metaliks.

AML was the first big ticket investment under the Indian insolvency process by Sanjeev Gupta-led Gupta Family Group (GFG) Alliance, which owns Liberty Steel