The State Bank of India, ICICI Bank Limited and Axis Bank Limited are expected to sign the deal, which will possibly be the largest local-currency loan taken in India in 2024.
May 2, 2024
ArcelorMittal Nippon Steel India Limited, a partnership between two major steelmakers of the world, is holding talks with leading Indian banks to secure a loan of about USD 1 billion to accelerate the expansion plans.
If the agreement comes through, it would possibly be the largest local-currency loan taken in India this year. The moneylending agreement is expected to rope in heavyweights such as the State Bank of India, the ICICI Bank Limited and the Axis Bank Limited as key lenders.
One of the leading banks of India, SBI, may lend more than half of the loan. The details of the lending facility are yet to be finalised and may change.
The syndicated deal may have a tenor exceeding five years and be linked to a local interest rate benchmark.
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Anticipating a boost in infrastructure spending, the company, which is a joint venture between steel giants ArcelorMittal South Africa Limited and Japan’s Nippon Steel Corp, is going ahead with its expansion plans.
