Bhushan Steel reclassifies its erstwhile promoters as public shareholders after takeover by Tata Steel

New Delhi: Bhushan Steel on Tuesday said stock exchanges have approved reclassification of its erstwhile promoters, who collectively hold around 3.47 percent of stake in the company, as public shareholders following its takeover by Tata Steel. Bamnipal Steel Limited, a wholly-owned arm of Tata Steel Ltd, is the sole promoter of Bhushan Steel, holding 72.65 percent of the paid-up share capital of the company, the steel maker said in a filing to BSE. [caption id=“attachment_4358339” align=“alignleft” width=“380”] Representational image. Reuters.[/caption] Bamnipal Steel had completed the acquisition of a controlling stake in Bhushan Steel Ltd (BSL) last month. “National Stock Exchange of India Ltd (NSE) and BSE Ltd (BSE)….has approved the re-classification of erstwhile promoters of the company i.e. Neeraj Singal; Brij Bhushan Singal; Ritu Singal; Aishwarya Singal; Brij Bhushan Singal; and Bhushan Infrastructure Pvt Ltd, collectively holding in aggregate 3.47 percent of paid-up share capital of the company as the public category shareholders,” Bhushan Steel said. Tata Steel, which emerged as the biggest bidder for Bhushan Steel with a Rs 32,500-crore deal in the insolvency process, completed the acquisition of controlling stake of 72.65 percent in the debt-laden firm on 18 May. Post takeover, Tata Steel had said that it will raise Rs 16,500 crore through debt instruments to fund Rs 32,500 crore acquisition of Bhushan Steel Ltd. The remaining amount will be raised through internal resources, it had said. The bankrupt firm was among the 12 stressed assets the RBI had referred for NCLT proceedings last year.