Tata Steel rose 0.49% to Rs 376.85 at 9:18 IST on BSE after the company said that it has opened the UK's largest profiling centre for steel plate in the West Midlands, increasing its plate processing capacity in the region by up to 50%.
The announcement was made after market hours on Tuesday, 14 January 2014.
Meanwhile, the S&P BSE Sensex was up 115.52 points or 0.55% at 21,148.40.
On BSE, so far 21,000 shares were traded in the counter as against average daily volume of 6.30 lakh shares in the past two weeks.
The stock hit a high of Rs 378.40 and a low of Rs 375.30 so far during the day.
Tata Steel said that the new Profiling Centre, at Steelpark in Wednesfield, transforms steel plate into a multitude of shaped and machined components, from high-volume production runs for offroad vehicle wheels and booms for earth-moving equipment, to large one-off components for construction projects and specialist engineering applications. The 3.1 million facility provides a step change in Tata Steel's capability to supply plate that has been cut and finished to exact size, shape and quality specifications. Steelpark's profiling capacity will be increased to 47,000 tonnes per annum, the company said in a statement.
Paul Steele, Managing Director at Tata Steel Distribution UK and Ireland said, "This investment is one of a series of developments that is strengthening Steelpark's position as one of the key foundations for UK manufacturing. We are transforming the UK's largest steel service centre into an operation that is entirely focused on meeting customer requirements and supporting their success".
The development amalgamates Tata Steel's plate cutting and machining capability into a single facility able to offer a comprehensive suite of tailored processing services to meet customers' specific requirements, the company said.
The investment will shorten order and delivery times, enabling Tata Steel to offer a range of benefits to customers in the lifting & excavating and construction sectors, including greater consistency of quality and a single point of contact for the purchasing process, it said.
Paul Steele added, "We have a unique ability to support our customers because of our Tata Steel ownership, which makes us the only steel distribution group to have both its mill and processing operations in the UK and Ireland. This means not only that we know our products and services inside out, but we can offer customers consistent quality and repeatability. We can work together from the outset to advise customers on specifications for their particular product application and, by tailoring our products and services in this way, we are best placed to meet their needs with a personal and professional service".
Tata Steel reported a consolidated net profit of Rs 916.77 crore in Q2 September 2013, as against net loss of Rs 363.93 crore in Q2 September 2012. Net sales rose 7.4% to Rs 36369.64 crore in Q2 September 2013 over Q2 September 2012.
Tata Steel is among the top-ten global steel companies with an annual crude steel capacity of over 29 million tonnes per annum (mtpa). It is the world's second-most geographically-diversified steel producer, with operations in 26 countries and a commercial presence in over 50 countries.
Powered by Capital Market - Live News
