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Three of the top 10 global steel companies are set to fall into the hands of Indians with the Tata group making an indicative offer of £4.1 billion ($7.6 billion) to take over the Anglo-Dutch firm Corus. 

This is also the latest salvo by the 138-year-old Tata group – among the top business houses in India with 96 companies in its empire – to spread its wings across the globe in all its seven areas of operations.

A merger of Corus with Tata Steel will create the sixth largest steel producer in the world and would amount to the biggest takeover of a foreign firm by an Indian company, analysts said, adding the deal made sense for both companies.

Globalization seems to be in all its glory in India as a new breed of Indian multinationals stamping their presence in many countries by acquiring reputed companies of those countries.. And while earlier Indian companies were buying smaller profit-making firms, the trend is changing now. The size of the deals in 2005-06 shows that the appetite of Indian MNC is growing.

Indian firms are acquiring assets abroad. The number of Indian firms investing abroad has been rising steadily ever since Tata Group acquired UK’s Tetley Tea for $431.2 million five years ago.

The main driving force of the trend is the aspiration of Indian firms to go global. They have a potential market in the US and Europe. Acquisition means getting a market, and a product line of 50 to 60 products. This shows the capability of Indian entrepreneurs to operate globally provided the Government of India gives them right support as it seems now. Liberalization is turning into globalization

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