TATA STEEL CORUS DEAL: An Analysis

The first 200 words of this essay...

TATA STEEL - CORUS DEAL: An Analysis

Contents

Deal Background 3

TATA STEEL - An Overview 3

Operations 3

Key Strengths 3

Long Term Strategy 4

CORUS - An Overview 4

Operations 4

Market focus 5

Target Selection: Rationale 5

Key points that point to success of the merger vis a vis other simlar mergers (TCL and CNOOC from China perspective) 8

Deal Negotiation & Bidding 9

Valuation and Financing 9

Analysis/Justification of the Deal 11

Tata's Viewpoint 11

Stock Market reaction 11

Analysts & Investment banker's Reaction 13

Media Reaction 15

Credit Rating Agencies Reaction 15

The Deal was Cheaper @ £ 6.08 per share 15

Our Analysis of Deal Value 17

Integration Process and Post Merger Events 18

Integration Processes 19

Industry's View on possible Integration Issues 19

Integration Measures by Tatas 19

Post-merger targets for Tata-Corus 20

Conclusion 20

Appendix 21

References 22

Deal Background

TATA STEEL - An Overview

Established in 1907, Tata Steel is Asia's first and India's largest private sector steel company. Tata