IMFA seals Rs 707-crore takeover of Tata Steel’s ferro chrome unit in Kalinganagar

By Subrat Sarangi

New Delhi/ Bhubaneswar, Feb. 27: Indian Metals & Ferro Alloys Ltd (IMFA), the country’s leading fully integrated manufacturer of value-added ferro chrome, on Friday announced the successful completion of its strategic acquisition of a ferro chrome plant from Tata Steel Limited in Odisha’s Kalinganagar industrial hub.

The deal, valued at Rs 707.26 crore, includes a base consideration of Rs 610 crore in addition to GST and net working capital adjustments. IMFA said the acquisition has been financed entirely through internal accruals, underscoring the company’s robust financial health and prudent capital management.

The 115-acre facility is equipped with four furnaces, offering a combined installed capacity of 100,000 tonnes per annum (TPA). Production capacity is projected to rise to 150,000 TPA after the commissioning of a partially completed fifth furnace, expected within the next year.

With this acquisition, IMFA significantly expands its manufacturing base and consolidates its presence in the domestic ferro chrome segment — a key raw material for stainless steel production.

Describing the move as a landmark development, IMFA Managing Director Subhrakant Panda said the acquisition represents a transformative phase in the company’s growth journey.

“This is a defining milestone for IMFA. We are focused on ensuring seamless integration and unlocking operational efficiencies to create long-term value for stakeholders. Together with our ongoing greenfield expansion initiatives, this strengthens our position as India’s largest ferro chrome producer and among the leading players globally. We remain committed to advancing the industry responsibly and sustainably,” Panda said.

The acquisition comes at a time when demand for ferro alloys is witnessing steady growth in both domestic and international markets, prompting Indian producers to ramp up capacities and reinforce their competitive edge.

Photograph: Senior officials of IMFA and Tata Steel Limited (TSL) after signing the strategic acquisition agreement for the ferro chrome plant at Kalinganagar, Odisha.