(Reuters) - ArcelorMittal SA
ArcelorMittal will clear overdue debt of steel firm Uttam Galva Steels
The move comes two weeks after India's top court said ArcelorMittal's bid for Essar Steel would become valid only if the acquirer cleared outstanding debt of Uttam Galva Steels and KSS Petron.
ArcelorMittal is forming a joint venture with Japan's Nippon Steel & Sumitomo Metal Corp <5401.T> to bid for Essar and had raised its bid for the Essar Steel in September.
Essar Steel's committee of creditors now has an eight-week period to evaluate bids.
ArcelorMittal sold its stake in Uttam Galva and KSS Petron to free up capital to bid for Indian steel assets being auctioned as part of insolvency proceedings.
($1 = 73.6375 Indian rupees)
(Reporting by Chris Thomas in Bengaluru)