FSNL's Strategic Shift: Konoike Transport Takes the Helm

The strategic disinvestment of FSNL, a subsidiary of MSTC Ltd, has been concluded with its acquisition by Konoike Transport Co Ltd for Rs 320 crore. Konoike, a Tokyo-listed corporation with vast experience in steelworks, will now lead FSNL's operations, aiming to enhance recycling and steel processing services.

The strategic disinvestment of FSNL, a completely owned subsidiary of MSTC Ltd, was finalized as Konoike Transport Co Ltd acquired full shareholding, as announced by the Department of Investment and Public Asset Management (DIPAM) on Tuesday.

Last September, the Indian government approved the sale of FSNL to the Japanese firm Konoike for Rs 320 crore, followed by a share purchase agreement signed in October. This deal surpasses the initial reserve price of Rs 262 crore set by the authorities.

With a rich history in steelworks spanning over 140 years, Konoike Transport's Steel Division will now spearhead FSNL's mission, broadening its service portfolio to include comprehensive recycling and steel processing capabilities.

(With inputs from agencies.)