Greybull Capital tempted with another portion of Tata Steel

PRIVATE equity firm Greybull Capital is now understood to be considering a bid for Tata’s speciality steel division which employs 2,000 staff at two sites in Yorkshire.

The business has operations in Rotherham and Stocksbridge near Sheffield and Tata claims it is the world’s third largest supplier of aerospace steel.

The news comes just one week after it signed a deal to acquire Tata’s Long Products division, primarily based in Scunthorpe, with the hope of safeguarding nearly 5,000 jobs.

The steel division produces steel for aircraft, oil drilling and cars for companies including Rolls-Royce and Jaguar Land Rover.

Representatives of Greybull had recently visited the Rotherham facility, according to the Financial Times. Greybull declined to comment.

Tata Steel announced last month it would sell its loss-making UK steel business.

Greybull Capital is based in Knightsbridge in London. The private equity business, founded in 2008 by Nathaniel and Marc Meyohas, was involved in the OpCapita acquisition of Comet in 2011 shortly before its administration, as well as a £75m investment in Monarch airlines. At the time it made 700 redundancies at the firm.