Nithia Capital, advisory and investment firm, has announced that they have completed the acquisition of Crest Steel and Power Pvt Ltd (CREST) for a total consideration in excess of Rs 600 crores ($80 million). This acquisition was completed in partnership with Amalgam Steel Private Limited (ASPL) with Nithia retaining majority control of the partnership.
Located in Durg, Chhattisgarh, CREST is an integrated steel plant with a current sponge iron capacity of 225 KTPA and steel billet capacity of 80 KTPA. CREST has over 400 acres of land and extensive room for brownfield expansion with a private railway siding, which has been identified as part of the planned growth capex projects. These include completion of the 1,500 KTPA iron ore pellet plant and near doubling of the manufacturing capacities for sponge iron and steel billet.
Jai Saraf, Founder and CEO of Nithia Capital said, “The acquisition of CREST is an important and strategic step for Nithia and is our second steel investment in India. With our newly forged partnership with Amalgam Steel, we believe CREST will soon achieve a successful turnaround and is well set on its planned growth programme. This transaction is further proof of the success of the Insolvency and Bankruptcy Code (IBC)."