Tata Steel ferro chrome plant sale to IMFA and TSHP funding noted by market analysts

Tata Steel shares were set for focus on Monday, March 2, after a key asset sale update. Indian Metals & Ferro Alloys Ltd (IMFA) confirmed it completed the purchase of Tata Steel Limited’s ferro chrome plant at Kalinganagar, Odisha. The deal value was Rs 707.26 crore. The payment came fully from internal accruals.

The Rs 707.26 crore value included a base price of Rs 610 crore. It also covered GST and net working capital. The acquired unit sits on 115 acres in Kalinganagar. It currently runs four furnaces. These can produce 100,000 tonnes per annum (tpa) in total.

On February 27, 2026, Tata Steel ended at Rs 212.59 on the NSE. The close was down 1.36% from Rs 215.52 a day earlier. The stock began at Rs 215.50. It moved between Rs 211.66 and Rs 215.90. More than 2.55 crore shares traded on the NSE.

The 52-week range stood at Rs 125.30 to Rs 216.45. The peak of Rs 216.45 came on February 25, 2026. The latest price stayed near that high despite the daily slip. From the 52-week low, the stock was up about 70%. Trendlyne also showed roughly 27 million average daily volume.

Trendlyne’s February 27 report showed a consensus "Buy" based on 32 analysts. The average target price was near Rs 212. Estimates ranged from about Rs 160 to Rs 240. Key brokerage notes also set fresh targets. Their calls mixed Buy and Hold, while keeping valuation metrics in view.

"At CMP, TATA is trading at 7.7x EV/EBITDA and 2.3x FY27E P/B. We maintain our BUY rating with an SoTP-based TP of INR240 per share on Sep'27 estimate," Motilal Oswal said in a report.

"We roll over to FY28E estimate and assign an EV/EBITDA multiple of 7.5x to FY28E EBITDA to derive target price of Rs223 and maintain HOLD rating on the stock," IDBI Capital mentioned in a report.

"With safeguard duty led steel price hike, favourable demand tailwind, and strategic capacity expansion, TSL's Indian operation is well positioned for sustained long term growth. Moreover, EU import-control measures are expected to strengthen profitability at Netherland operation. On that note, we maintain BUY rating on Tata Steel with SOTP-based revised target price of Rs 250 (8.5x/4x EV/EBITDA to India/Europe business on FY28E)," commented the research analysts of ICICI Direct Research.

Tata Steel ferro chrome plant sale to IMFA

IMFA said the Kalinganagar facility includes a fifth furnace under partial construction. IMFA expects this furnace to start in about a year. Once operating, total capacity may rise to 150,000 tpa. IMFA described itself as the nation’s top fully integrated producer of value-added ferro chrome.

"It is a transformative deal which marks a key milestone in the company's growth journey. We are committed to creating value for all stakeholders by working towards a smooth and seamless integration which delivers significant operational synergies. Together with our greenfield expansion, it positions us as India's largest producer of ferro chrome and amongst the foremost globally. We will continue to shape the future of ferro chrome - responsibly, sustainably and ambitiously."

Tata Steel fund infusion into T Steel Holdings Pte. Ltd

Tata Steel also disclosed more funding into its wholly owned foreign subsidiary, T Steel Holdings Pte. Ltd (TSHP). A February 26, 2026 filing said Tata Steel subscribed to 261.90 crore equity shares. Each share had a face value of USD 0.1008. The total investment was USD 264 million, or about Rs 2,401.50 crore.

The rupee conversion used Rs 90.9661 per US dollar. This was the Reserve Bank of India reference rate published on February 24, 2026. Tata Steel said TSHP remained a wholly owned foreign subsidiary after the transaction. The company also linked this step to earlier fund infusions disclosed in 2025 and 2026.

The latest Trendlyne data pegged Tata Steel near Rs 212.33, with market value over Rs 2.7 trillion. Another figure placed market capitalisation above Rs 2,65,063 crores on February 27, 2026. Over five years, Trendlyne showed returns of almost 196.9%. Over one year, it showed gains of nearly 53.1%.

The Tata Steel Group reported annual crude steel capacity of 35 million tonnes. Trading details for February 27, 2026 are summarised below for quick reference.

Metric	Value
NSE close (February 27, 2026)	Rs 212.59
Previous close	Rs 215.52
Day range	Rs 211.66 to Rs 215.90
Volume on NSE	Over 2.55 crore shares
52-week low / high	Rs 125.30 / Rs 216.45

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