Jindal Stainless will invest ₹5,400 crore over the next two years for capacity expansion and acquisition to fuel growth of the company, its managing director Abhyuday Jindal announced on Wednesday.
Around 90 per cent of the investments will be made through internal accruals, Jindal said, while addressing a press conference after a board meeting of the company.
At present, the company owns and operates two manufacturing facilities at Jajpur in Odisha and Hisar in Haryana, having a combined melting capacity of 3 million tonnes per annum (MTPA).
The company will go ahead with three strategic investments worth about ₹5,400 crore to achieve global leadership in the stainless steel industry, Jindal said, adding that the board has approved the proposals of the company.
It includes increasing the company’s melting capacity by over 40 per cent to 4.2 MTPA at an investment of more than ₹700 crore, he said.
The company has also set aside around ₹1,900 crore for the expansion of its downstream lines at its plant in Jajpur, and earmarked ₹1,450 crore towards infrastructure upgrades, such as railway siding, sustainability-related projects, and renewable energy generation, Jindal said.
As part of the third investment proposal, JSL will acquire a 54 per cent equity stake in Chromeni Steels Pvt Ltd (CSPL), which owns a 0.6 MTPA cold rolling mill located in Mundra, Gujarat, through a structured indirect acquisition deal, he said.
