Indian steel manufacturer Uttam Galva has acquired a 58.35% stake in steel company Lloyds Steel with plans to revive the struggling company.

The Miglani family, which controls the Group, had initiated the acquisition process under three phases in March 2012. During this time, Uttam Galva acquired a 24.53% interest in Lloyds Steel for INR1.8bn ($32.74m).

On 7 November 2012, the group purchased another 6.37% interest for INR774.4m ($14m approximately) through an open offer, reported Press Trust Of India.

The acquisitions were conducted through two Uttam Galva Metallics subsidiaries, Ultimate Logistics Solutions and Metallurgical Engineering and Equipments.

Uttam Galva Steels deputy managing director Ankit Miglani told PTI that a majority of the acquisition related formalities are completed and that by 25 November 2012, all paperwork would be complete.

Miglani also announced its plans to revive the ailing company with an investment of INR3.8bn ($69m) within a year.

"All the money will go into the company to improve its operations and cash requirements. Within one year, we will make Lloyds Steel profitable," Miglani claimed.

Funds from the investment will enable capacity enhancement at Lloyds Steel plant from the current one million tonnes per annum (MTPA) to 3MTPA.

Lloyds Steel had been under a long-term business partnership with the Uttam Galva Group, supplying most of its pig iron to Uttam Galva’s 0.5MTPA plant in the Indian state of Maharashatra.