Business India ×
  Magazine:
Interview

Published on: Sept. 20, 2020, 11:35 p.m.
Growth through acquisitions
  • Sanjeev Gupta, Founder, Liberty Steel

By Daksesh Parikh. Executive Editor, Business India

Q Why do governments across various countries support you?

A We support industry and support employment. In developed countries where industries are declining and people are unwilling to invest, we present the governments with a doable turnaround plan. We offer skilled workers an opportunity in these countries. Our belief is to bring industry back to the developed nations. And offer a more sustainable way of restructuring the companies.  

Q How has Covid impacted your plants globally?

A There were a few cases across the globe in our plants. On the whole less than one per cent were infected. One of the reasons being that people working in industrial sites are used to adhering to safety norms. Adding an extra layer or two does not make any difference but provides them considerable protection.
 
Q Covid does not seem to have dimmed your appetite for takeovers. Do you have a big M&A team?

A We have a large M&A team in place and they are continuously scouting and evaluating opportunities. Our policy has been growth through acquisitions. We have closed a few deals in the last six months including two in France and one which is nearing closure in Spain.
 
Q Which are the likely regions offering opportunities?

A Outside of China, the steel industry is likely to see consolidation. In Europe there is a growing movement to change over from carbon steel to green steel. The old guard may not necessarily be the changemakers in the industry. It is no secret that some large companies in Europe are on the block. There are also quite a few small companies across the EU.

Q What are your plans in SIMEC?

A We are continuously examining ways to increase renewable power. We have put in large solar plants in Australia and plan to use the power in producing hydrogen which in turn will be used partially or otherwise in scrap melting. We have also set up alternate energy plants in Scotland and are looking at producing power through tides and waves. The energy solutions we are looking at are to make our plants future-proof. We have also set up a plant for generating energy from waste.
 
Q How are you confident of turning around Port Talbot when Tatas have not succeeded?

B I am a very big fan of the Tatas. They are a great company and what Ratan Tata has achieved is remarkable. Ratan Tata is my idol. We have fine-tuned a model for recycling steel and have global resources for sourcing scrap material. For us, our centre of gravity is the UK; for Tatas it is India. Port Talbot is a great site and I am confident of turning it around. We can, if required, forge a partnership with Tatas and make it happen. It will be an honour to work with Tatas.
 
Q What can you do which others cannot?

A We have set up global scrap sourcing and recycling plants in place to make each of our plants self-sufficient. Getting scrap and setting up renewable plants can certainly be done by others. If our plans to make green steel are copied, I will be most happy. The point is that not many have been investing in it so far. The UK, for instance, exports five million tonnes of scrap annually and imports 10 million tonnes of finished steel products. We aim to change that.
 
Q What is your aim going ahead in aluminium?

A The aim is to produce at least one million tonne of aluminium over the next two years, maybe earlier. We are currently engaged in making canned water from the rivers in Ben Nevis, the tallest mountain in Scotland. The cans will be reusable. The need is to move away from plastic and leave a better environment for the next generation.

Don't miss this

Corporate Report

DCM Shriram in a sweet spot

DCM Shriram goes on an expansion programme

Corporate Report

An officer and a businessman

Radiant’s offerings cover the spectrum of retail cash management services except for ATM related services

Corporate Report

Sahajanand Medical Technologies clock a hearty growth

With the future of heart care and minimal therapy increasing, there’s huge potential for SMT’s business categories

Focus

Moving India towards Net-Zero

The transition to an RE based future requires careful Change Management, which does not impact the growth of GDP and employment

Our letter to you, once a week.
Register with The CSR Weekly for free!

E-MAGAZINE
Where to invest 2022
Looking back looking forward
The dilemma
FROM THIS ISSUE

Automobiles

Real Estate

Textiles

Manufacturing

Guest Column

Cement

Social Responsibility

Healthcare

Goodyear India partners Americares India Foundation

Published on Feb. 2, 2021, 9:21 p.m.

The partnership will support COVID-19 healthcare facilities in Faridabad and Aurangabad

Environment

Tata Motors launches a 'Go Green' initiative

Published on Dec. 23, 2020, 10:34 a.m.

The company will plant a sapling for the sale of every new commercial vehicle

Women Empowerment

Tata Starbucks ties up with Educate Girls to empower women

Published on Dec. 2, 2020, 3:10 p.m.

The partnership aims to provide volunteering and educational support to those who have relocated to urban cities from villages

Environment

Indian Oil has a social initiative for a clean and green world

Published on Nov. 25, 2020, 2:53 a.m.

The public sector company is planting a tree for every retail customer visit during its TreeCheers campaign period

Climate Change

Government and Policy

India, IRENA join hands

Published on Jan. 19, 2022, 11:54 a.m.

The two will work closely to assess the potential role green hydrogen can play both as an enabler of the transition in India and as a new source of national energy exports

Renewable Energy

The hydrogen future

Published on Jan. 19, 2022, 11:29 a.m.

Hydrogen is not a new oil. And the transition is not a fuel replacement but a shift to a new system with political, technical, environmental, and economic disruptions

Women Empowerment

Rourkela wins global award

Published on Jan. 19, 2022, 11:11 a.m.

The Odisha city is among 15 winners for innovative urban projects

Renewable Energy

Tata Power opens two solar projects in UP

Published on Jan. 19, 2022, 10:42 a.m.

The projects have been completed by TPREL within the agreed timelines despite Covid challenges

Stay ahead of the times.
Register with The Climate Change Weekly for free!