On 31 January 2007, Tata Steel won the bid in the battle for Anglo-Dutch steelmaker, Corus Group, quoting 608 pence a share, about a third higher than its first offer in October 2006.

Tata will pay $12.15 billion (around Rs.55,000 crore) in cash for Corus Group, making it the largest acquisition by an Indian company and the second largest in the industry after Mittal Steel's $38.3 billion acquisition of Arcelor.

This was the ninth round of an auction that was conducted. The acquisition makes Tata Steel the world's fifth largest steelmaker, adding 19 million tpa of steel-making capacity.

Corus will add $10.88 billion to the group's market capitalisation, taking the total to $69.08 billion. The acquisition will also add $19.97 billion to the company's revenue, taking group revenue to $41.87 billion, 63 per cent ($26.54 billion) of which will come from overseas.

Tata will be chairman of the Corus board, taking over from Jim Leng, who will become vice-chairman. Two more berths will be reserved for Tata Steel .

Also See:

EU clears Tata Steel's acquisition of Corus (23-Dec-06)