Tata Steel debt to reduce by Rs 15000 crore in FY22: Edelweiss Securities

Amit Dixit, director-institutional equities at Edelweiss Securities, on Friday, said that the estimate for Tata Steel’s debt reduction for this year is at Rs 15,000 crore.

The company reported earnings for the June-ended quarter. While India business seemed solid, in line with estimates, there was a disappointment on the European business front.

“Our debt reduction estimate is close to Rs 15,000 crore for this year (FY22). I believe that with working capital unlock happening, working capital accretion typically happens in Q1 when prices are high, but as sales volume flows through, you will find working capital getting unlocked. So that will also contribute to debt reduction,” Dixit said.