Mumbai: JSW Steel has taken a key step in formalising its partnership with Japan’s JFE Steel, advancing plans to jointly operate the Bhushan Power and Steel business.
Investment Completed
JFE Steel Corporation has infused Rs
7,875 crore as the first tranche of its investment into JSW Kalinga Steel Limited. Following this, 2,26,94,524 equity shares have been allotted to JFE, resulting in a 25 percent shareholding on a fully diluted basis in the joint venture entity.
Joint Control Established
With the share allotment and corresponding changes in board composition, JSW Steel and JFE have now established joint control over JSW Kalinga. This control also extends to its wholly owned subsidiary, JSW Sambalpur Steel Limited, aligning governance with the joint venture agreement signed earlier.
Further Stake Planned
The agreement provides for JFE to acquire an additional 25 percent stake in JSW Kalinga for Rs 7,875 crore. This subsequent investment will be completed in line with the terms outlined in the joint venture agreement dated December 3, 2025, moving the partnership toward an equal ownership structure.
Strategic Partnership Progresses
The development marks continued progress in JSW Steel’s collaboration with JFE to strengthen its presence in the steel business of Bhushan Power and Steel Limited. The phased investment structure allows both companies to scale operations while aligning strategic and operational control. The update reflects steady execution of JSW Steel’s joint venture roadmap, positioning the partnership for long-term growth in India’s steel sector.
Disclaimer: This article is based solely on the company’s stock exchange filing and does not include independent verification or external sources.
