As a part of the deal entered with POSCO Co., Ltd and POSCO-India Private Ltd, , JSW’s wholly owned subsidiary Saffron Resources Private would become a 50:50 Joint Venture between the Company and POSCO Group. POSCO Group will subscribe to shares of the Saffron, for a consideration of Rs 508.8 crore.
Saffron possesses 887 acres of land in Odisha (595 acres freehold land; 292 acres leasehold land), which may be used to set up the proposed plant, JSW Steel said in a stock exchange filing.
The Joint Venture will deepen strategic ties between the two steel producers, JSW said.
An association with POSCO Co., Ltd will enable the Company to form a strategic partnership for access to technology and manufacturing of high-grade steel products for automotive and other applications, it said.
POSCO Co., Ltd, headquartered in Pohang (South Korea) has 45 MTPA of steel manufacturing capacity.
JSW Steel is a leading integrated steel company with a crude steel production capacity of 35.7 MTPA (34.2 MTPA in India; 1.5 MTPA in US). It aims to achieve a production capacity of 50 MTPA in India by FY31.
