Mumbai: Essar Steel Ltd is close to acquiring a major stake in Ajmera Realty Infra, formerly Shree Precoated Steels, two newspapers reported on Wednesday citing sources.
The deal, which would give Essar Steel control over Ajmera’s steel business making it the biggest cold-rolled maker in India, is seen at Rs7-8 billion, the Economic Times newspaper reported citing a source close to the development.
Ajmera has been trying to exit its steel business for the past two years now and has been in talks with major steel firms including JSW Steel and Tata Steel for the sale, DNA said quoting a company official.
While a source in Essar Steel told the agency preliminary discussions were on with Ajmera, its spokesman declined to comment.
“We are waiting for Shree Precoated to respond to the offer as there are other companies involved in the deal,” a company official at Essar told DNA.
An official at Ajmera contacted by the agency was not available for immediate comment.