JSW Steel to buy 50 percent stake in Indian tinplate producer

India-based steelmakerJSW SteelLtd (JSW Steel) has announced that it plans to buy a 50 percent stake in Punjab-based VallabhTinplatePvt Ltd (VTPL) for INR 460 million ($7.4 million) in two phases. In the first phase, JSW will acquire a 26 percent stake in VTPL, subject to customary closing conditions and third party consents.

According toJSW Steel's statement, the company has a strategic goal to enhance the share of value-added products in its overall product basket to about 40 percent. This acquisition marksJSW Steel's entry into the growingtinplatebusiness inIndia.

VTPL is currently operating a 60,000 mt per yeartinplatemanufacturing facility in the Patiala district in Punjab.