Tata Steel in pact to raise 3.5 bn

NEW DELHI: Tata Steel on Wednesday said it has entered into an agreement with a consortium of 13 banks, led by Standard Chartered and State Bank of India, for raising 3.53 billion (Rs 25,000 crore) to refinance the loan it took to partly fund the Corus acquisition.

"Tata Steel on Wednesday executed agreements for the refinancing of its European operations," the leading global steel major said in a filing to the London Stock Exchange.

Tata Steel UK Holdings said it has signed the "senior facility agreement with the consortium of banks for 3.53-billion term loan and revolving credit facility". The funding will replace in full the current debt taken at the time of buying Anglo-Dutch steel maker Corus in 2007 for about $12 billion, the company added.