Shares of Tata Steel were trading in the green on 14 September after the company moved forward in negotiations with the United Kingdom Government to secure funding of £500 million government-backed funding
The company is looking to raise funds to safeguard the future of its Port Talbot facility in South Wales.
The decision of this deal was set to ensure the continuity of operations at the UK’s largest steelworks.
According to the media outlet Sky News, the British government and the company are optimistic about completing the deal as early as the end of the week.
Within the terms of the agreement, the company will receive financial aid amounting to £500 million, and the company itself is planning to infuse £700 million for the modernisation of the Port Talbot plant.
Port Talbot employs around 4,00 employees, which constitutes around half of the company’s entire UK workforce.
Within the agreement, the company will construct arc furnaces that employ less labour-intensive processes for steel production against the traditional blast furnace.
At 3:30 pm, the shares of Tata Steel closed at Rs 131.95 or 1.85% above its previous close on NSE.