JSW Steel, in partnership with Japan’s JFE Steel Corporation, announced on October 18, 2024, that they will jointly acquire a 100% stake in Thyssenkrupp Electrical Steel India (tkES) for ₹4,051.4 crore. This acquisition will be executed through a 50:50 joint venture between the two companies.
Thyssenkrupp Electrical Steel India, which operates a manufacturing facility in Nashik, Maharashtra, specializes in the production and sale of grain-oriented electrical steel. For FY24, the company reported a turnover of ₹1,271 crore.
JSW Steel’s Board of Directors approved the acquisition, which includes the purchase of all equity shares of tkES India, along with the licensing and transfer of technology from the Thyssenkrupp group. The deal will be carried out through Jsquare Electrical Steel Nashik Private Limited (J2ES), a wholly-owned subsidiary of JSW JFE Electrical Steel Private Limited, which is a 50:50 joint venture between JSW and JFE.
The acquisition is a part of JSW Steel’s broader strategy to increase its production of value-added steel products. The transaction, an all-cash deal, is expected to be completed within eight months, subject to approval from the Competition Commission of India (CCI).
Disclaimer:
The information provided in this article is for general informational purposes only and is based on publicly available disclosures as of October 18, 2024. JSW Steel and JFE Steel’s acquisition of Thyssenkrupp Electrical Steel India is subject to regulatory approvals, including from the Competition Commission of India (CCI), and the completion timeline may change based on external factors. This content should not be construed as financial, legal, or investment advice. Readers are advised to consult with relevant professionals before making any decisions based on this information. The companies involved retain the right to amend details related to the acquisition.
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