ArcelorMittal has completed Rs 2,350 crore acquisition of Odisha Slurry Pipeline Infrastructure after paying lenders the full principal amount, securing a crucial asset for its newly acquired 10 million tpa Essar Steel plant in Hazira, Gujarat.
Odisha Slurry runs 253 km long pipeline supplying iron ore from mines to the Hazira plant, which was acquired by the ArcelorMittal-Nippon Steel combine through an insolvency process from the Essar Group in 2019.
In March 2020, the National Company Law Appellate Tribunal (NCLAT) had approved the ArcelorMittal resolution plan after a committee of creditors (CoC) led by IDBI Bank unanimously voted in its favour.
Odisha Slurry owed a total of Rs 3,300 crore to financial creditors of which Rs 2,350 crore was the principal amount. Out of the total dues, Rs 2,100 crore was to banks and the remaining to other financial creditors.