India-Canada tensions slow JSW Steel's talks with Teck Resources over coal unit stake
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Discussions between JSW Steel and Teck Resources over stake sale in Teck's coal business have slowed down due to diplomatic tensions between India and Canada.
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JSW Steel is India's largest steelmaker and is looking to buy a stake in Teck's steelmaking coal unit.
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Teck has twice rejected takeover bids from Glencore for the entire company. Other companies like Nippon Steel remain interested in Teck's coal business.
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India has suspended visa services for Canadian citizens citing security concerns. This is the first sign of trade ties being affected by the diplomatic spat.
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JSW Steel is working on paperwork and valuations for the deal. It is in talks with banks for funding the transaction.