December 16, 2021

Singapore Stock Exchange,

Singapore

Dear Madam, Sirs,

Sub: Acquisition of Redeemable Preference Shares of Angul Sukinda Railway Limited

This is to inform you that Tata Steel Limited ('the Company/TSL') has on December 15, 2021, executed a long-term agreement with Angul Sukinda Railway Limited ('ASRL'), for the construction, operation and maintenance of an alternate railway line ('Additional Rail Line'). The agreement is for a period of 20 (twenty) years to meet the logistic requirements of TSL's Kalinganagar Steel Plant. TSL will be funding the entire expenditure of ₹400 crore (in a phased manner) for construction of the Additional Rail Line by subscribing to 40,00,00,000 (Forty-crore)non-convertible,non-cumulative, redeemable preference shares of face value ₹10/- (Rupees ten) each ('RPS') of ASRL ('Transaction").

The relevant details of the Transaction are enclosed as Annexure A.

This disclosure is being made in compliance with Regulation 30(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.

This is for your information and records.

Yours faithfully,

Tata Steel Limited

Parvatheesam Kanchinadham

Company Secretary &

Chief Legal Officer (Corporate & Compliance)

Registered Office Bombay House 24 Homi Mody Street Fort Mumbai 400 001 India

Tel 91 22 6665 8282 Fax 91 22 6665 7724 Website www.tatasteel.com

Corporate Identity Number L27100MH1907PLC000260

Annexure A

SN.

Particulars

Details

Angul Sukinda Railway Limited ('ASRL'), is a

public limited company incorporated on

February 20, 2009 having its Registered Office

at Plot No.: 25/381/902, Samantapuri, Press

Chhak, Gajapatinagar, Bhubaneswar, Odisha.

ASRL was incorporated as a special purpose

vehicle by the Ministry of Railways, for

Name of the target entity, details in brief

developing, financing, construction, operation

a.

and maintenance of a 104.24 km broad gauge

such as size, turnover etc.;

single railway line between Angul and Sukinda

in Odisha to establish direct link between (1)

iron-ore rich areas of Odisha viz. Joda-Barbil

to steel and sponge iron industries in Angul

region and (2) between coal mining region in

Talcher to industries in Jakhapura, Joda-

Barbil and areas in Kendujhar district, Odisha.

Turnover of ASRL as on March 31, 2021 is

₹539.62 crore.

Whether the acquisition would fall within

related party transaction(s) and

whether the promoter/ promoter group/

b.

group companies have any interest in

No

the entity being acquired? If yes, nature

of interest and details thereof and

whether the same is done at "arm's

length"

c.

Industry to which the entity being

Infrastructure (Railway)

acquired belongs;

Objects and effects of acquisition

Construction of an Additional Railway Line for

(including but not limited to, disclosure of

d.

reasons for acquisition of target entity, if

Tata Steel Limited to meet the logistic

its business is outside the main line of

requirement of TSL's Kalinganagar Steel

business of the listed entity);

Plant.

Brief details of any governmental or

Approval obtained vide Government of India /

e.

regulatory approvals required for the

Ministry of Railways (Railway Board) Letter

acquisition;

No. 2006/Infra/12/4 dated August 2, 2021.

Registered Office Bombay House 24 Homi Mody Street Fort Mumbai 400 001 India

Tel 91 22 6665 8282 Fax 91 22 6665 7724 Website www.tatasteel.com

Corporate Identity Number L27100MH1907PLC000260

SN.

Particulars

Details

f.

Indicative time period for completion of

December

31, 2024 (subject to terms and

the acquisition;

conditions of the Transaction).

Nature of consideration - whether cash

g.

consideration or share swap and details

Cash

of the same;

h.

Cost of acquisition or the price at which

₹400 Crore (Rupees Four

Hundred

Crore

the shares are acquired;

only)

TSL will acquire 40,00,00,000 (Forty crore)

Percentage of shareholding / control

non-convertible,non-cumulative, redeemable

i.

preference

shares

of

face

value

of

₹10/-

acquired and / or number of shares

(Rupees ten) each

in

a phased

manner,

acquired;

redeemable at the end of twenty (20) years or

earlier, as per the terms of issuance.

Angul Sukinda Railway Limited, a special

purpose vehicle, was incorporated by the

Ministry of Railways (MOR) for developing,

financing,

construction,

operation

and

maintenance of a 104.24 km broad gauge

single railway line between Angul and Sukinda

in Odisha to establish direct link between iron-

ore rich areas of Odisha viz. Joda-Barbil to

Brief background about the entity

steel and sponge iron industries in Angul

acquired in terms of products/line of

region and between coal mining region in

business

acquired,

date

of

Talcher to industries in Jakhapura, Joda-

j.

incorporation, history of last 3 years

Barbil and areas in Kendujhar district.

turnover, country in which the acquired

entity has presence and any other

Date of Incorporation: February 20, 2009

significant information (in brief);

Turnover of ASRL for last 3 years:

i. FY-2018-19 (as on March 31, 2019):

₹238.21 crore.

ii. FY-2019-20 (as on March 31, 2020):

₹303.08 crore.

iii. FY-2020-21 (as on March 31, 2021):

₹539.62 crore.

Registered Office Bombay House 24 Homi Mody Street Fort Mumbai 400 001 India

Tel 91 22 6665 8282 Fax 91 22 6665 7724 Website www.tatasteel.com

Corporate Identity Number L27100MH1907PLC000260

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Tata Steel Ltd. published this content on 16 December 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 16 December 2021 09:08:05 UTC.