JSW Steel Ltd.

JSW Steel is currently trading at Rs. 889.20, up by 3.00 points or 0.34 % from its previous closing of Rs. 886.20 on the BSE.

The scrip opened at Rs. 887.05 and has touched a high and low of Rs. 898.00 and Rs. 885.85 respectively. So far 20412 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 1046.75 on 07-Jan-2014 and a 52 week low of Rs. 451.50 on 19-Aug-2013.

Last one week high and low of the scrip stood at Rs. 889.25 and Rs. 820.00 respectively. The current market cap of the company is Rs. 21508.43 crore.

The promoters holding in the company stood at 37.31 % while Institutions and Non-Institutions held 23.49 % and 39.19 % respectively.

JSW Steel intends to acquire 26% equity in Vallabh Tinplate (VTPL) immediately and shall increase its equity stake in VTPL to 50% in due course. The total investment to acquire 50% equity stake in VTPL is estimated to be a maximum of Rs 46 crore depending upon financial performance of VTPL. The above is however subject to customary closing conditions and third party consents.

Accordingly JSW Steel has executed a legally binding Share Purchase Agreement and Shareholders Agreement with the shareholders of VTPL and VTPL. JSW Steel will have representation in the Board of VTPL proportionate to its equity holding with a right to appoint certain key managerial personnel. This acquisition marks JSW Steel’s entry into growing Tinplate business in India.

Vallabh Tinplate is currently operating a 60,000 MT per annum tinplate manufacturing facility in Beopror Village, Rajpura, Patiala District in the state of Punjab in India. VTPL is owned by Vardhaman Industries (VIL) along with its promoters.