Tata Steel up in the green

Tata Steel is up in the green today on news coming in that the UK government has agreed to partly nationalize the company’s UK assets. The news is that it is ready to buy 25% stake in the business. The UK Govt also said it will offer debt financing of "hundreds of millions of pounds" to the potential buyer of the assets, which include Port Talbot steelworks, Britain's biggest plant.

A spokeswoman for Prime Minister David Cameron was quoted as saying by Reuters, “If we were to take an equity stake, it would be a minority one with the aim of supporting the purchaser in delivering long-term future for the business. We are certainly not seeking to be controlling the company.”

The stock price of Tata Steel spurted up over 2.5% to Rs.363.50 and continues to remain firmly in the green.