Jindal Stainless Secures Full Ownership Of Chromeni Steels With Rs 278 Cr Stake Acquisition

Jindal Stainless Ltd (JSL) has finalised the acquisition of the remaining 46 per cent stake in Chromeni Steels Private Ltd (CSPL) for Rs 278 crore, officially making CSPL a wholly-owned subsidiary as of 15 June 2024.

This acquisition includes payments towards equity transfer and the settlement of shareholders' debt. Previously, JSL had secured a 54 per cent equity stake in CSPL through an indirect acquisition deal valued at Rs 1,340 crore. 

The acquisition cost for CSPL now totals Rs 1,618 crore for JSL. Chromeni Steels operates a 0.6 million tonnes per annum (MTPA) cold rolling mill located in Mundra, Gujarat, enhancing JSL's production capabilities and market position.

In a statement, JSL CEO Tarun Kumar Khulbe said, “The acquisition of a 100 per cent equity stake in Chromeni will help us climb the value chain. Since we expect the facility to be operational soon, this strategic move will enable the company to capitalise on the robust domestic demand, which is increasing at the rate of 7-9 per cent every year, immediately.”