Tata Steel IJmuiden B.V., the Dutch subsidiary of Tata Steel, has signed a share purchase agreement with Vattenfall Power Generation Netherlands B.V. to acquire 100pct of LAG Velsen B.V., a new entity that will hold Vattenfall’s Velsen power plants. The deal is valued at up to EUR 140 mln (USD 162 mln), subject to regulatory approvals.
The three Velsen power plants convert process gases from Tata Steel IJmuiden’s steelmaking operations into electricity and steam. This output is supplied back to Tata Steel under a tolling contract that expires on December 31, 2025. By acquiring LAG Velsen, Tata Steel will fully secure these assets, which are critical to its operational continuity and energy efficiency.
Once the transaction is completed, targeted for January 1, 2026, LAG Velsen B.V. will become an indirect wholly owned subsidiary of Tata Steel Limited.
1 USD / 0.86 EUR
