Tata Steel Targets NINL Merger Completion in Fiscal Year After November Hearing
Key Facts
Tata Steel expects to complete the merger of Neelachal Ispat Nigam, known as NINL, during the current fiscal year, subject to final approval from the National Company Law Tribunal, the company said in its fiscal 2027 second-quarter results filing and conference call. The court process sets a direct timetable for the subsidiary’s reorganisation, with Tata Steel officials saying the hearing is scheduled for later in November 2026. The timing comes as NINL proceeds with a major production expansion, while the subsidiary posted positive operating earnings in the September quarter. Tata Steel said, "The merger of NINL with Tata Steel remains on track for completion during this financial year, subject to final court approval." The company approved the merger scheme in March 2026, according to a board disclosure.
The next procedural step is a hearing before the National Company Law Tribunal in November, with completion remaining subject to its final approval. Tata Steel’s investor page listed an initial order issued by the bench in Cuttack dated 25 August 2026 in the NINL merger case. The board approved the scheme on 17 March 2026, according to a company disclosure. The company then filed the draft scheme with the relevant bench, while final ratification remained pending. Under the proposed merger terms, Tata Steel’s NINL shares will be cancelled, with no new shares issued by the parent company and no cash consideration paid.
On performance, NINL posted earnings before interest, taxes, depreciation and amortisation of 318 crore rupees, with a margin of 21% in the September quarter of fiscal 2027, Tata Steel said. The operating figures come as the subsidiary moves from planning to execution of the expansion project. The statement gave no year-on-year or quarter-on-quarter comparison for NINL’s earnings, but linked its operational update to the project’s progress. At the group level, Tata Steel’s total operating earnings were 10,665 crore rupees in the same quarter, up 14% quarter on quarter and 17% year on year. The company said the group margin was about 16%, in results released on 7 November.
NINL’s expansion is targeting capacity of 4.8 million tonnes a year, and the project has entered execution, with commissioning targeted for fiscal 2030, Tata Steel said. Site development work has begun, including road construction and land levelling, while orders for major equipment, including the blast furnace package, are progressing. The project includes four long-products rolling mills, among them rebar and wire-rod facilities. The company said one rebar mill is expected to begin operations before the steelmaking complex, enabling production to ramp up before upstream facilities are commissioned. This sequence puts initial production ahead of completion of the complex’s entire production infrastructure.
NINL has been wholly owned by Tata Steel since 24 July 2025, when the company completed the purchase of the remaining 100% stake, according to its disclosure. Tata Steel Long Products acquired 93.71% of NINL on 4 July 2022 for 12,100 crore rupees. When it announced the acquisition in 2022, Tata Steel said it intended to restart NINL’s existing plant, with capacity of one million tonnes a year, while working in parallel on a long-products complex with capacity of 4.5 million tonnes a year. The company’s current update describes the expansion project at 4.8 million tonnes a year, with execution under way and operations targeted for fiscal 2030. The November hearing and subsequent final court approval remain the next steps in the merger process during the current fiscal year.