Diversified conglomerate Tata Group has shown interest in investing in Electrosteel Steels Ltd, the Kolkata-based company has said.
Besides, a Singapore-based financial investor has also evinced interest in the firm, Electrosteel Steels said in a filing to the BSE on Thursday.
The firm has been under corporate debt restructuring scheme since 2013 with a debt of more than Rs 6,000 crore.
"...Electrosteel Steels has now informed BSE that the lenders/company has now received indicative term sheets for investment in the company from Tata Group as well as from a financial investor based in Singapore," the filing added.
Reacting to the news, shares in the firm hit the upper circuit on Thursday.
The filing further said, "The bankers...as well as the company are exploring the proposals of investment."
In April, there were reports that Anil Aggarwal-led Vedanta was eyeing a minority stake in the debt-laden firm and there had been initial talks in this matter between Vedanta and Electorsteel.
However, Electrosteel in a reply to stock exchanges denied "any action/discussion as contemplated in the media report with regard to sale of the company".
According to the firm's website, Electrosteel Steels has a 2.5 million tonnes per annum (MTPA) green field integrated steel plant near in Bokaro (Jharkhand).
Electrosteel Steels shares, on Thursday, ended 6.6 per cent higher at Rs 4.02 apiece on the BSE.
Sourc: NDTV
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