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Tata signs $990 million loan to fund biggest UK battery plant: report
About 15 banks are involved in the bridge loan, which spans two years and ranks among the top three foreign currency borrowings by Indian companies this year
Agratas Energy Storage Solutions, a subsidiary of Tata Sons, has finalized a £750 million ($990.79 million) loan to develop a large-scale battery manufacturing facility in the UK, Bloomberg reported, citing people familiar with the matter.
About 15 banks are involved in the bridge loan, which spans two years and ranks among the top three foreign currency borrowings by Indian firms this year. The agreement has been executed, though disbursement is currently underway, the Bloomberg report added, citing people in the know.
The loan is structured with an interest spread over the Sterling Overnight Index Average (SONIA). It is being raised at a time when global capital markets are experiencing increased volatility amid ongoing trade-related tensions.
Agratas, which is wholly owned by Tata Sons, produces battery cells, and has manufacturing business in both India and the UK.
Once operational by the early 2030s, it is expected to supply nearly half of the total battery capacity needed for the UK’s automotive sector, the report said.
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