Jindal Stainless announces major expansion and acquisitions to boost global presence
Jindal Stainless, India’s premier stainless steel manufacturer, today unveiled an ambitious expansion and acquisition strategy, aiming to become one of the largest stainless steel producers globally. The company announced a comprehensive investment plan worth nearly INR 5,400 crores. This includes the development of a new stainless steel melt shop (SMS) in Indonesia and the expansion of downstream facilities in Jajpur, Odisha, alongside acquiring a significant stake in Chromeni Steels Private Limited (CSPL).
Establishing a New Joint Venture in Indonesia
Jindal Stainless has entered into a joint venture to develop and operate a stainless steel melt shop in Indonesia, projected to have an annual production capacity of 1.2 million tonnes per annum (MTPA). This venture, representing an investment of more than INR 700 crore, will enhance the company’s melting capacity by over 40% to 4.2 MTPA. According to Mr. Abhyuday Jindal, Managing Director of Jindal Stainless, “The Indonesian JV will provide us with the best of speed and raw material security.”
Jindal Stainless is set to become a global leader in the stainless steel industry with strategic expansions and acquisitions worth INR 5,400 crores.
Expanding Downstream Operations and Infrastructure
The company is allocating around INR 1,900 crore for the expansion of its downstream lines in Jajpur, which will process the increased melting capacity. An additional INR 1,450 crore is earmarked for upgrading infrastructure facilities, including railway siding and sustainability-related projects like renewable energy generation.
Acquisition of Chromeni Steels
Jindal Stainless will also acquire a 54% equity stake in CSPL, which owns a 0.6 MTPA cold rolling mill located in Mundra, Gujarat. This acquisition, part of a structured indirect purchase, involves around INR 1,340 crore, blending debt takeover and equity investment. Mr. Tarun Kumar Khulbe, CEO & Wholetime Director, emphasized the strategic alignment, noting, “The acquisition of Chromeni supports our strategy to increase cold-rolled products in our product mix.”
This comprehensive strategy not only aims to expand Jindal Stainless’s production capabilities but also strengthens its position in the global market, ensuring long-term growth and sustainability.